Understanding the RBI Draft Guidance on Model Risk Management
An overview of the Reserve Bank of India's regulatory principles for artificial intelligence, machine learning, and model risk management.
What This Covers?
Entity Coverage: Guidance applies across commercial banks, NBFCs, AIFIs, and ARCs.
Governance Standard: Establishes formal expectations for board oversight, vendor accountability, and automated risk controls.
Actionable Steps: Provides a structured framework to assess posture gaps before the final circular is published.