The Indian Institute of Banking and Finance (IIBF) conducts the CAIIB (Certified Associate of the Indian Institute of Bankers) exam twice a year—in June and November. Qualifying the CAIIB exam equips you with in-depth knowledge and validates your expertise, opening doors to promotions, better salaries, and a wider range of career opportunities.

But before embarking on your CAIIB journey, a strategic understanding of the exam format, syllabus, and important topics is crucial. This article will equip you with all the essential information to efficiently prepare for and qualify the CAIIB exam.

CAIIB Exam Pattern

Here’s a detailed overview of the CAIIB exam pattern:

Papers	No. of Questions	Total Marks	Time Duration
Paper 1: Advanced Bank Management (ABM)	100	100	2 hours
Paper 2: Bank Financial Management (BFM)	100	100	2 hours
Paper 3: Advanced Business & Financial Management (ABFM)	100	100	2 hours
Paper 4: Banking Regulations and Business Laws (BRBL)	100	100	2 hours
Paper 5: Elective Paper (Candidate has to choose any one out of 5 elective papers)  1. Rural Banking 2. Human Resources Management  3. Information Technology & Digital Banking  4. Risk Management  5. Central Banking	100	100	2 hours

CAIIB Exam Pattern: Additional Details

The CAIIB Exam is held online, and the type of questions are multiple-choice. Each paper carries 100 marks, and there is no negative marking for wrong answers. Each paper is held on different dates, and the duration for each paper is 2 hours. The cut-off for each paper is 50%, i.e. 50 marks out of 100.

For your easy understanding, we have provided the above-mentioned information in a table form below.

Additional Details of the CAIIB Exam Pattern
Total Papers	4 (Compulsory) + 1 (Elective)
Total Questions	100 per paper
Total Marks	100 per paper
Total Duration	2 Hours (120 Minutes) per paper
Negative Marking	No
Medium of Exam	Hindi or English
Mode of Exam	Online
Nature of Questions	Objective Multiple Choice Questions (MCQs) (or) Numerical Questions where candidates have to type the answer
Pattern of Questions	Knowledge testing Problem-solving Conceptual grasp Case analysis  Analytical/logical exposition

After getting familiar with the CAIIB exam pattern, it is time to understand the syllabus to prepare effectively. 

CAIIB Exam Syllabus

To qualify the CAIIB exam, aspirants need to clear 5 papers (4 compulsory and 1 elective). 

Compulsory Papers Syllabus

Papers	Modules	Syllabus
Paper 1: Advanced Bank Management (ABM)	Module A	Statistics
	Module B	Human Resource Management
	Module C	Credit Management
	Module D	Compliance in Banks & Corporate Governance
Paper 2: Bank Financial Management (BFM)	Module A	International Banking
	Module B	Risk Management
	Module C	Treasury Management
	Module D	Balance Sheet Management
Paper 3: Advanced Business & Financial Management (ABFM)	Module A	The Management Process
	Module B	Advanced Concepts of Financial Management
	Module C	Valuations, Mergers, & Acquisitions
	Module D	Emerging Business Solutions
Paper 4: Banking Regulations and Business Laws (BRBL)	Module A	Regulations and Compliance
	Module B	Important Acts/Laws & Legal Aspects of Banking Operations(Part A)
	Module C	Important Acts/Laws & Legal Aspects of Banking Operations(Part B)
	Module D	Commercial & Other Laws with Reference to Banking Operations

Elective Papers Syllabus

Papers	Modules	Syllabus
Paper 1: Rural Banking	Module A	Rural India
	Module B	Financing Rural Development
	Module C	Priority Sector Financing & Govt. Initiatives
	Module D	Problems & Prospects in Rural Banking
Paper 2: Human Resources Management	Module A	Human Resource Management
	Module B	Building an HR Strategy
	Module C	Motivation, Training, and Skill Development
	Module D	Personnel Management and Industrial Relations
	Module E	Emerging Scenario in HRM
Paper 3: Information Technology & Digital Banking	Module A	Information Technology & Digital Banking
	Module B	Systems & Design
	Module C	Banking Technology Applications & Digital Banking
	Module D	Information System Security Controls & Audit
Paper 4: Risk Management	Module A	Risk & Risk Management Framework
	Module B	Credit Risk
	Module C	Market Risk
	Module D	Operational Risk
	Module E	Basel & RBI Guidelines on Risk Management
	Module F	Derivatives & Risk Management
Paper 5: Central Banking	Module A	Rationale & Functions of Central Bank
	Module B	Central Banking in India
	Module C	Monetary & Credit Policies
	Module D	Management of Foreign Exchange Reserves & Constituents of Indian Financial Market
	Module E	Regulation, Supervision, and Financial Stability
	Module F	Non-Banking Financial Companies & Primary Dealers

Applicants can either choose an elective in the area they are currently employed in or in the area they would like to work in the future. The best method to select your elective is to pick the area you are currently working in and later move to another elective. This helps you advance your expertise and explore new areas.

Important Note: 

It’s highly recommended to refer to the latest notification to ensure there haven’t been any alterations in the exam syllabus or pattern.

For more details, download the official CAIIB Exam Syllabus as a PDF.

After getting the overview of the CAIIB exam syllabus, it’s time to understand the subject-wise syllabus in detail.

Subject-Wise CAIIB Exam Official Syllabus

Below is the subject-wise CAIIB Exam syllabus for compulsory and elective papers: 

CAIIB Advanced Bank Management (ABM) Syllabus

Here is the CAIIB Advanced Bank Management syllabus:

CAIIB Advanced Bank Management Syllabus
Module	Topic	Sub-Topics
Module A	Statistics	1. Definition of Statistics, Importance & Limitations & Data Collection, Classification & Tabulation 2. Sampling Techniques 3. Measures of Central Tendency & Dispersion, Skewness, Kurtosis 4. Correlation and Regression 5. Time Series 6. Theory of Probability 7. Estimation 8. Linear Programming 9. Simulation
Module B	Human Resource Management	1. Fundamentals of Human Resource Management 2. Development of Human Resources 3. Human Implications of Organisations 4. Employees’ Feedback and Reward System 5. Performance Management 6. Conflict Management and Negotiation 7. HRM and Information Technology
Module C	Credit Management	1. Overview of Credit Management 2. Analysis of Financial Statements 3. Working Capital Finance 4. Term Loans 5. Credit Delivery and Straight Through Processing 6. Credit Control and Monitoring 7. Risk Management and Credit Rating 8. Restructuring/Rehabilitation and Recovery 9. Resolution of Stressed Assets under Insolvency and Bankruptcy Code 2016
Module D	Compliance in Banks & Corporate Governance	1. Compliance Function in Banks 2. Compliance Audit 3. Compliance Governance Structure  4. Framework for Identification of Compliance Issues and Compliance Risks 5. Compliance Culture and GRC Framework 6. Compliance Function and Role of Chief Compliance Officer in NBFCs 7. Fraud and Vigilance in Banks

Below, we have explained the CAIIB Advanced Bank Management (ABM) detailed syllabus.

Module A: Statistics

1. Definition of Statistics, Importance & Limitations & Data Collection, Classification & Tabulation

Importance of Statistics; Functions of Statistics; Limitation or Demerits of Statistics; Definitions; Collection of Data; Classification and Tabulation; Frequency Distribution

2. Sampling Techniques

Random Sampling; Sampling Distributions; Sampling from Normal Populations; Sampling from NonNormal populations; Central Limit Theorem; Finite Population Multiplier

3. Measures of Central Tendency & Dispersion, Skewness, Kurtosis

Arithmetic Mean; Combined Arithmetic Mean; Geometric Mean; Harmonic Mean; Median and Quartiles; Mode; Introduction to Measures of Dispersion; Range and Coefficient of Range; Quartile Deviation and Coefficient of Quartile Deviation; Standard Deviation and Coefficient of Variation; Skewness and Kurtosis

4. Correlation and Regression

Scatter Diagrams; Correlation; Regression; Standard Error of Estimate

5. Time Series

Variations in Time Series; Trend Analysis; Cyclical Variation; Seasonal Variation; Irregular Variation; Forecasting Techniques

6. Theory of Probability

Mathematical Definition of Probability; Conditional Probability; Random Variable; Probability Distribution of Random Variable; Expectation and Standard Deviation; Binomial Distribution; Poisson Distribution; Normal Distribution; Credit Risk; Value at Risk; Option Valuation

7. Estimation

Estimates; Estimator and Estimates; Point Estimates; Interval Estimates; Interval Estimates and Confidence Intervals; Interval Estimates of the Mean from Large Samples; Interval Estimates of the Proportion from Large Samples

8. Linear Programming

Graphic Approach; Simplex Method

9. Simulation

Simulation Exercise; Simulation Methodology

Module B: Human Resource Management

1. Fundamentals of Human Resource Management

The Perspective; Relationship between HRM & HRD and their Structure and Functions; Role of HR Professionals; Strategic HRM; Development of HR Functions in India

2. Development of Human Resources

HRD and its Subsystems; Learning and Development – Role and Impact of Learning; Attitude Development; Career Path Planning; Self-Development; Talent Management; Succession Planning

3. Human Implications of Organisations

Human Behaviour and Individual Differences; Employees Behaviour at Work; Diversity at Workplace and Gender Issues; Theories of Motivation and Their Practical Implications; ‘Role’: Its Concept & Analysis

4. Employees’ Feedback and Reward System

Employees’ Feedback; Reward and Compensation System

5. Performance Management

Appraisal Systems; Performance Review and Feedback; Counselling; Competency Mapping and Assessment of Competencies; Assessment Centres; Behavioural Event Interview (BEI)

6. Conflict Management and Negotiation

Conflict: Concept & Definition; Characteristics of Conflict; Types of Conflicts; Reasons for Conflict; Different Phases of Conflict; Conflict Resolution; Conflict Management; Negotiation Skills for Resolution of Conflicts

7. HRM and Information Technology

Role of Information Technology in HRM; HR Information and Database Management; Human Resource Information System (HRIS); Human Resource Management System (HRMS); e–HRM; HR Research; Knowledge Management; Technology in Training; HR Analytics

Module C: Credit Management

1. Overview of Credit Management

Importance of Credit; Historical Background of Credit in India; Principles of Credit; Types of Borrowers; Types of Credit; Components of Credit Management; Role of RBI Guidelines in Bank’s Credit Management

2. Analysis of Financial Statements

What are Financial Statements; Users of Financial Statements; Basic Concepts Used in Preparation of Financial Statements; Accounting Standards (AS); Legal Position Regarding Financial Statements; Balance Sheet; Profit and Loss Account; Cash Flow Statement; Funds Flow Statement; Projected Financial Statements; Purpose of Analysis of Financial Statements by Bankers; Rearranging the Financial Statements for Analysis; Techniques used in Analysis of Financial Statements; Creative Accounting; Related Party Transactions

3. Working Capital Finance

Concept of Working Capital; Working Capital Cycle; Importance of Liquidity Ratios; Methods of Assessment of Bank Finance; Working Capital Finance to Information Technology and Software Industry; Bills/Receivables Finance by the Banks; Guidelines of RBI for Discounting/Rediscounting of Bills by Banks; Trade Receivables Discounting System (TReDS); Non-Fund Based Working Capital Limits; Other Issues Related to Working Capital Finance

4. Term Loans

Important Points about Term Loans; Deferred Payment Guarantees (DPGs); Difference between Term Loan Appraisal and Project Appraisal; Project Appraisal; Appraisal and Financing of Infrastructure Projects

5. Credit Delivery and Straight Through Processing

Documentation; Third-Party Guarantees; Charge over Securities; Possession of Security; Disbursal of Loans; Lending under Consortium/Multiple Banking Arrangements; Syndication of Loans; StraightThrough Loan Processing or Credit Underwriting Engines

6. Credit Control and Monitoring

Importance and Purpose; Available Tools for Credit Monitoring/Loan Review Mechanism (LRM) 

7. Risk Management and Credit Rating

Meaning of Credit Risk; Factors Affecting Credit Risk; Steps taken to Mitigate Credit Risks; Credit Ratings; Internal and External Ratings; Methodology of Credit Rating; Use of Credit Derivatives for Risk Management; RBI guidelines on Credit Risk Management; Credit Information System

8. Restructuring/Rehabilitation and Recovery

Credit Default/Stressed Assets/NPAs; Wilful Defaulters; Non-cooperative borrowers; Options Available to Banks for Stressed Assets; RBI Guidelines on Restructuring of Advances by Banks; Available Frameworks for Restructuring of Assets; Sale of Financial Assets

9. Resolution of Stressed Assets under Insolvency and Bankruptcy Code 2016

Definition of Insolvency and Bankruptcy; To Whom the Code is Applicable; Legal Elements of the Code; Paradigm Shift; Corporate Insolvency Resolution Process; Liquidation process; Pre-packed Insolvency Resolution Process for stressed MSMEs

Module D: Compliance In Banks & Corporate Governance

1. Compliance Function in Banks

Compliance Policy; Compliance Principles, Process and Procedures; Compliance Programme; Scope of Compliance Function; Role & Responsibilities of Chief Compliance Officer (CCO)

2. Compliance Audit

Role of Risk Based Internal Audit and Inspection; Reporting Framework and Monitoring Compliance; Disclosure Requirements; Accounting Standards; Disclosures under Listing Regulations of SEBI 

3. Compliance Governance Structure 

Organisational Structure; Responsibility of the Board and Senior Management; Compliance Structure at the Corporate Office; Functional Departments; Compliance Structure at Field Levels; Internal Controls and its Importance

4. Framework for Identification of Compliance Issues and Compliance Risks

Compliance Issues; Compliance Risk; Inherent Risk and Control Risk; Independent Testing and Effective Audit Programme; Reporting Framework and Monitoring Compliance; Role of Inspection and Audit; Loan Review Mechanism/Credit Audit; What is Good Compliance

5. Compliance Culture and GRC Framework

How to Create Compliance Culture Across the Organisation; Governance, Risk and Compliance – GRC Framework; Benefits of an Integrated GRC Approach; Whistle-blower Policy; The Components of a Whistle-blower Policy; Reasons for Compliance Failures

6. Compliance Function and Role of Chief Compliance Officer in NBFCs

Framework for Scale Based Regulation for Non-Banking Financial Companies; Transition Path; Framework for Compliance Function and Role of Chief Compliance Officer in Non-Banking Financial Companies in Upper Layer and Middle Layer (NBFC-UL & NBFC-ML)

7. Fraud and Vigilance in Banks

Definition of Fraud; Definition of Forgery; Areas in which Frauds are committed in Banks; Banking and Cyber Frauds; Fraud Reporting and Monitoring System; Vigilance Function in Banks; RBI Guidelines for Private Sector and Foreign

CAIIB Bank Financial Management (BFM) Syllabus

Here is the CAIIB Bank Financial Management (BFM) syllabus:

CAIIB Bank Financial Management (BFM) Syllabus
Module	Topic	Sub-Topics
Module A	International Banking	1. Exchange Rates and Forex Business 2. Liberalised Remittance Scheme (LRS) and other Remittance Facilities for Residents 3. Correspondent Banking and NRI Accounts 4. Documentary Letters of Credit 5. Facilities for Exporters and Importers 6. External Commercial Borrowings and Foreign Investments in India 7. Risks in Foreign Trade – Role of ECGC 8. Role of EXIM Bank, Reserve Bank of India, Exchange Control in India – FEMA, FEDAI and Others 9. International Financial Service Centres (IFSC), GIFTCity 10. Technology in International Banking
Module B	Risk Management	1. Risk and Basic Risk Management Framework 2. Risks in Banking Business 3. Risk Regulations in Banking Industry 4. Market Risk 5. Credit Risk 6. Operational Risk and Integrated Risk Management 7. Liquidity Risk Management 8. Basel III Framework on Liquidity Standards
Module C	Treasury Management	1. Introduction to Treasury Management 2. Treasury Products 3. International Equity and Debt Products 4. Funding and Regulatory Aspects 5. Derivative Products 6. Treasury and Asset-Liability Management
Module D	Balance Sheet Management	1. Components of Assets and Liabilities in Bank’s Balance Sheet and their Management 2. Capital Adequacy – Basel Norms 3. Asset Classification and Provisioning Norms 4. Liquidity Management 5. Interest Rate Risk Management 6. RAROC and Profit Planning

Below, we have explained the CAIIB Bank Financial Management detailed syllabus.

Module A: International Banking

1. Exchange Rates and Forex Business

Foreign Exchange – Definition and Markets; Factors Determining Exchange Rates; Exchange Rate Mechanism; Foreign Exchange Dealing Room Operations; Derivative Products; RBI / FEDAI Guidelines; Foreign Exchange Arithmetic – Concepts and Examples

2. Liberalised Remittance Scheme (LRS) and other Remittance Facilities for Residents

Capital Account Transactions and Current Account Transactions; Key Sections under FEMA vis-à-vis Liberalized Remittance Scheme; Permissible/Non-permissible Remittances under LRS; Operational Guidelines; Remittances under LRS for Current Account Transactions; Tax Collected at Source (TCS); LRS vis-à-vis Capital Account Transactions; Reporting Requirements under LRS

3. Correspondent Banking and NRI Accounts

Correspondent Banking – Accounts and other Services; Nostro, Vostro and Loro Accounts; Electronic Modes of Transmission/Payment Gateways – SWIFT, CHIPS, CHAPS, RTGS, etc.; NRI Banking; NRI accounts – Rupee and Foreign Currency Accounts; Facilities to NRIs; Advances to Non-Residents against Non-Resident Deposits; Housing Loans to Non-Resident Indians

4. Documentary Letters of Credit

Definition of Letter of Credit; Types of Letters of Credit; Operations of Letter of Credit; UCP 600 and Important Articles; Liabilities, Responsibilities and Rights of the Parties; Documents under LC – Scrutiny, Crystallization, Follow-up for Bills under LC and Safeguards for Banks; Risks Relating to LC Transactions; Standby Letter of Credit (Similar to Guarantees); Uniform Rules for Bank-to-Bank Reimbursements (URR–725); International Standard Banking Practice – 745 (ISBP 745); Incoterms; Case Studies

5. Facilities for Exporters and Importers

Exchange and Trade Control Guidelines for Exporters; Facilities for Exporters;; Export Finance; Gold Card Scheme for Exporters; Export Data Processing and Monitoring System (EDPMS); Factoring and Forfaiting; Exchange and Trade Control Guidelines for Importers; Import Finance; Import Data Processing and Monitoring System (IDPMS); Trade Credit – Supplier’s Credit and Buyer’s Credit; Case Study on Export Finance

6. External Commercial Borrowings and Foreign Investments in India

External Commercial Borrowings – Concepts; ECBs – Other Operational Concepts; Reporting Requirements; Conversion of ECB into Equity; Foreign Investments; Key Concepts; Eligible Foreign Investors; Eligible Investee Entities; Eligible Investment Instruments; Prohibited Sectors; Rules Governing Pledge of Shares; Operational Guidelines; Snap Shot of Non-Debt Instruments (NDI) Rules; List of Documents for Obtention of Foreign Investments; List of Documents for Refund of Foreign Investments

7. Risks in Foreign Trade – Role of ECGC

Definition of Risk and Risks in International Trade; Country Risk; Export Credit Insurance in International Trade; ECGC Role and Products; ECGC Policies; ECGC’s Products for Banks; Other Aspects Relating to ECGC Policies and Guarantees; Some of the Common “To Do Points” under ECGC Policies; Claims

8. Role of EXIM Bank, Reserve Bank of India, Exchange Control in India – FEMA, FEDAI and Others

EXIM Bank – Role, Functions, and Facilities; Reserve Bank of India – Role and Exchange Control Regulations in India; Foreign Exchange Management Act (FEMA) 1999; Role of FEDAI and FEDAI Rules; Short Notes on Other Topics: ECB and ADR/GDRs and FCCB;

9. International Financial Service Centres (IFSC), GIFTCity

Scope of IFSC in India; Opportunities at Gift City; Guidelines relating to setting up of IFSC Banking Units (IBUs); Role of IFSCA; Regulatory Framework; Permissible Activities at IBUs; Relaxations for the FPI (Foreign Portfolio Investors) Entities at GIFT City

10. Technology in International Banking

Introduction to Digitization in International Banking – An Overview, Evolution of Technology in International Banking; Benefits and Limitations of Technology in International Banking; Digital Platforms in International Banking; FINTECH and Evolution of FINTECH in International Banking; Delivery channels under FINTECH in International Banking; Sample process of International Trade Using Blockchain Technology; Challenges in FINTECH

Module B: Risk Management

1. Risk and Basic Risk Management Framework

What is Risk?, Linkages among Risk, Capital and Return; Why Risk Management?; Basic Risk Management Framework

2. Risks in Banking Business

Risk Identification in Banking Business; The Banking Book; The Trading Book; Off-Balance Sheet Exposures; Banking Risks – Definitions

3. Risk Regulations in Banking Industry

Regulation of Banking Industries – Necessities and Goals; The Need for Risk-based Regulation in a Changed World Environment; Basel I: The Basel Capital Accord; 1996 Amendment to Include Market Risk; Basel II Accord – Need and Goals; Basel II Accord; Towards Basel III; Capital Charge for Credit Risk; Credit Risk Mitigation; Capital Charge for Market Risk; Capital Charge for Operational Risk; Pillar 2 – Supervisory Review Process; Pillar 3 – Market Discipline; Capital Conservation Buffer; Leverage Ratio; Countercyclical Capital Buffer; Systemically Important Financial Institutions (SIFIs); Risk Based Supervision (RBS)

4. Market Risk

Market Risk – Concept; Market Risk in Banks; Market Risk Management Framework; Organisation Structure; Risk Identification; Risk Measurement; Risk Monitoring and Control; Risk Reporting; Managing Trading Liquidity; Risk Mitigation

5. Credit Risk

General; Credit Risk Management Framework; Organisation Structure; Risk Identification; Risk Measurement; Credit Risk Control and Monitoring; Credit Risk Policies and Guidelines at Transaction Level; Credit Control and Monitoring at Portfolio Level; Active Credit Portfolio Management; Controlling Credit Risk through Loan Review Mechanism (LRM); Credit Risk Mitigation; Securitisation; Credit Derivatives (CDs)

6. Operational Risk and Integrated Risk Management

Operational Risk – General; Operational Risk – Classification; Operational Risk Classification by Event Type – Definitions; Operational Risk Management Practices; Management Overview and Organisational Structure; Processes and Framework; Risk Monitoring and Control Practices; Operational Risk Qualification; Operational Risk Mitigation; Scenario Analysis; Integrated Risk Management; The Necessity of Integrated Risk Management; Integrated Risk Management – Challenges; Integrated Risk Management – Approach

7. Liquidity Risk Management

Liquidity Risk Management – Need & Importance; Potential Liquidity Risk Drivers; Types of Liquidity Risk; Principles for Sound Liquidity Risk Management; Governance of Liquidity Risk Management; Liquidity Risk Management Policy, Strategies and Practices; Management of Liquidity Risk; Ratios in respect of Liquidity Risk Management; Stress Testing; Contingency Funding Plan; Overseas Operations of the Indian Banks’ Branches and Subsidiaries and Branches of Foreign Banks in India; Broad Norms in Respect Of Liquidity Management; Liquidity Across Currencies; Management Information System; Reporting to the Reserve Bank of India; Internal Controls

8. Basel III Framework on Liquidity Standards

Liquidity Coverage Ratio; Liquidity Risk Monitoring Tools; Net Stable Funding Ratio

Module C: Treasury Management

1. Introduction to Treasury Management

The Concept; Functions of Integrated Treasury; The Process of Globalisation; Evolving Role of Treasury as Profit Centre; Organisation of Treasury

2. Treasury Products

Products of Foreign Exchange Markets; Money Market Products; Securities Market Products; Domestic and Global Markets

3. International Equity and Debt Products

Regulatory Environment; Global Depository Receipts; Indian Depository Receipts; External Commercial Borrowings; Trade Credits; Rupee Denominated Bonds

4. Funding and Regulatory Aspects

Reserve Assets: CRR and SLR; The Liquidity Adjustment Facility (LAF); Payment and Settlement Systems Treasury Risk Management Supervision and Control of Treasury; Market Risk and Credit Risk; Risk Measures: VaR and Duration; Use of Derivatives in Risk Management

5. Derivative Products

Derivatives and the Treasury; OTC and Exchange Traded Products; Forwards, Options, Futures and Swaps; Interest Rate and Currency Swaps; Developments in Indian Markets and RBI Guidelines on Risk Exposure

6. Treasury and Asset-Liability Management

Meaning of Asset-Liability Management (ALM), Liquidity Risk and Interest Rate Risk, Role of treasury in ALM, Use of derivatives in ALM, Credit risks and Credit Derivatives, Transfer pricing, Policy Environment

Module D: Balance Sheet Management

1. Components of Assets and Liabilities in Bank’s Balance Sheet and their Management

Components of a Bank’s Balance Sheet; What is Asset Liability Management?; Significance of Asset Liability Management; Purpose and Objectives of Asset Liability Management; ALM as Co-ordinated Balance Sheet Management

2. Capital Adequacy – Basel Norms

Scope of Application; Pillar-1 – Minimum Capital Requirements; Pillar 2- Supervisory Review Process; Pillar 3 – Market Discipline;

3. Asset Classification and Provisioning Norms

Asset Classification; Provisioning Norms

4. Liquidity Management

Definition; Dimensions and Role of Liquidity Risk Management; Measuring and Managing Liquidity Risk

5. Interest Rate Risk Management

Essentials of Interest Rate Risk; Sources of Interest Rate Risk; Effects of Interest Rate Risk; Measurement of Interest Rate Risk; Interest Rate Risk Measurement Techniques; Strategies for Controlling Interest Rate Risk; Controls and Supervision of Interest Rate Risk Management; Sound Interest Rate Risk Management Practices; RBI’s Draft Guidelines on Interest Rate Risk in Banking Book

6. RAROC and Profit Planning

Profit Planning; Risk Aggregation and Capital Allocation; Economic Capital and RARO

CAIIB Advanced Business & Financial Management (ABFM) Syllabus

Here is the CAIIB Advanced Business & Financial Management (ABFM) syllabus:

CAIIB Advanced Business & Financial Management (ABFM) Syllabus
Module	Topic	Sub-Topics
Module A	The Management Process	1. Basics of Management 2. Planning 3. Organizing 4. Staffing 5. Directing 6. Controlling
Module B	Advanced Concepts of Financial Management	1. Sources of Finance and Financial Strategies 2. Financial and Operating Leverages 3. Capital Investment Decisions 4. Capital Budgeting for International Project Investment Decisions 5. Adjustment of Risk and Uncertainty in Capital Budgeting Decision 6. Decision Making
Module C	Valuations, Mergers, & Acquisitions	1. Corporate Valuations 2. Discounted Cash Flow Valuation 3. Other Non-DCF Valuation Models 4. Special Cases of Valuation 5. Mergers, Acquisitions and Restructuring
Module D	Emerging Business Solutions	1. Hybrid Finance 2. Start-up Finance 3. Private Equity and Venture Capital 4. Artificial Intelligence 5. Business Analytics as Management Tool 6. Green and Sustainable Financing 7. Special Purpose Acquisition Company

Below, we have explained the CAIIB Advanced Business & Financial Management detailed syllabus.

Module A: The Management Process

1. Basics of Management

Definition of Management, The Management Process, Functions of Management, Importance of Management, Management Thoughts & Approaches, Management Challenges & Opportunities, Introduction to Strategic Management, Business Environment Analysis

2. Planning

Fundamentals of Planning, Steps in Planning, Importance of Planning, Advantages and disadvantages of planning, Management by Objectives, Plan Components, Contingency planning, Forecasting & Decision Making

3. Organizing

Introduction and Fundamentals of Organizing, Importance of Organisation, Stages in Organising Process, The Organising Process, Principles of organizing, Types of Organisations, Organisation structure, Organisation charts and manuals, The Organisation culture, Authority & Responsibility, Key Issues in Organisation Structure, Organisational Change, Conflict Dynamics

4. Staffing

Functions of Staffing, Objectives of staffing, Nature of staffing, Facets of staffing, Significance of staffing, System approach to staffing, Recruitment, Selection, Training, Retention and development, Knowledge and learning management, Performance Appraisal, Human Resource Development

5. Directing

Characteristics of directing, Importance of directing, Elements of directing, Leadership, Motivation, Communication, Supervision

6. Controlling

Basics of Controlling, Characteristics of controlling, Advantages of controlling, Limitations of controlling, Types of control management, Control process, Relation between planning and control, Control Techniques, Control technique and Information Technology

Module B: Advanced Concepts of Financial Management

1. Sources of Finance and Financial Strategies

Equity Capital, Internal Accruals, Preference Capital, Term Loans, Debentures, Alternative Financing Strategies in the Context of Regulatory Requirements

2. Financial and Operating Leverages

Financial Leverage, Degree of Financial Leverage and its Behaviour, Operating Leverage, Degree of Operating Leverage and its Behaviour, Combined or Total Leverage

3. Capital Investment Decisions

The objective of capital investment decisions, Estimation of project cash flows, Forecasting and its relation to regulation of capital for short, medium, and long term periods, Relationship between sales, production, and other functional budgets, Cash Forecasts, Cost analysis for projects, Methods of Investment appraisal; Social Cost Benefit Analysis

4. Capital Budgeting for International Project Investment Decisions

Foreign Investment Analysis, Special Considerations-Foreign & Home Currency Cash Flows, Foreign Currency Discount Rates Computation, International Portfolio Investment, and Institutional Constraints, Direct and Indirect Channels for International Portfolio Investment, Exchange and Country Risk, Return and Risk of Foreign Investment, Capital asset pricing model, Arbitrage pricing theory; International Capital Budgeting Issues involved in overseas projects, Approaches for evaluation of overseas projects, Evaluation methods, Impact of transfer pricing

5. Adjustment of Risk and Uncertainty in Capital Budgeting Decision

Sources & Perspectives on Risk, Sensitivity Analysis, Scenario Analysis, Hillier Model, Simulation Analysis, Decision Tree Analysis, Corporate Risk Analysis, Managing Risk, Project Selection Under Risk, Risk Analysis in Practice

6. Decision Making

Decision Making using Cost-Volume-Profit (CVP) Analysis, Decision Making using Relevant Cost Concepts, Decision Making using Activity Based Costing, Ethical and Non-Financial Considerations Relevant to Decision Making

Module C: Valuations, Mergers, & Acquisitions

1. Corporate Valuations

Approaches to Corporate Valuation, Adjusted Book Value Approach, Stock and Debt Approach, Direct Comparison Approach, Discounted Cash Flow Approach, Steps involved in valuation using DCF Approach

2. Discounted Cash Flow Valuation

Estimating Inputs, Approaches to Discounted Cash Flow Models, Various discounted Cash Flow Models, Dividend Discount Model, Applicability of the Dividend Discount Model

3. Other Non-DCF Valuation Models

Relative valuation model, Equity Valuation Multiples Model, Enterprise value multiples Model, Choosing the right multiples, Book value approach Model, Stock and debt approach

4. Special Cases of Valuation

Intangibles –Brand, Human valuation, etc., Real estate Firms, Start-up firms, Firms with negative or low earnings, Financial Service companies, Distressed firms, Valuation of cash and cross holdings, Warrants and convertibles, Cyclical & non-cyclical companies, Holding companies, E-commerce firms

5. Mergers, Acquisitions and Restructuring

Types of Transactions, Reasons for Merger, Mechanics of a Merger, Costs and Benefits of a Merger, Exchange Ratio in a Merger, Purchase of a Division/Plant, Takeovers, Leveraged Buyouts, Acquisition Financing, Business Alliances, Managing Acquisitions, Divestitures, Holding Company, Demergers Deal structuring and financial strategies Negotiations, Payment and legal considerations, Tax and accounting considerations, Tax reliefs and benefits in case of Amalgamation in India, Financial reporting of business combinations, Deal Financing, Financing of cross-border acquisitions in India

Module D: Emerging Business Solutions

1. Hybrid Finance

Advantages and disadvantages of Hybrid securities, Types of hybrid securities, Preference Share Capital, Features of Warrants, Features of Convertible Debentures, Differences between Warrants and Convertible debentures, Valuation of Warrants, Valuation of Compulsorily Convertible (Partly or fully) Debentures, Objective of issuing Warrants and Convertible debentures, Features of Foreign Currency Convertible Bond (FCCB), Mezzanine Financing, Innovative Hybrids

2. Start-up Finance

Benefits to startup under the Startup Plan, Startup definition in India, Challenges faced by Startups, State Startup Policy, Pitch Presentation, Programmes and competitions for startups, Tax exemptions, Funding, Investor’s outlook on Startups, Funding schemes and programs, International challenges and bridges

3. Private Equity and Venture Capital

Characteristics of Venture Capital Investments, Characteristics shared by Private Equity and Venture Capital as well as their key distinctions, Financing options available through Venture Capital, Investment in Private Equity, Benefits obtained through private equity, Drawbacks to the practice of private equity, Due diligence, Exit Strategies

4. Artificial Intelligence

History of Artificial Intelligence, Applicability of Artificial Intelligence, Artificial Intelligence in Banking and Finance, The future scope of Artificial Intelligence, Neural Networks, Control Theory and Cybernetics, Rational Agents, Motion and Manipulation, Tools and Techniques of Artificial Intelligence, Artificial Intelligence and Morality

5. Business Analytics as a Management Tool

Essentials of Business Analytics, Types of Analytics, Elements of Business Analytics, Big Data Analytics, Web and Mobile Analytics, Comparing web vs. mobile Analytics, Importance of Business Analytics

6. Green and Sustainable Financing

ISO Standards for Green Finance, Building Green Finance, International Best Practices Towards Green Finance, Public Policy in India, Progress of Green Finance in India, Challenges and Way Forward, Growth of Regulatory Framework, National Efforts towards Green and Sustainable Financing, RBI Views on Climate Risk and Sustainable Finance

7. Special Purpose Acquisition Company

Advantages of SPAC, Disadvantages of SPAC, SPAC Formation and Timelines, The SPAC Merger, Stakeholders, Characteristics of SPACs, Process, SPAC Capital Structure, Trust Account, Warrants, Forward Purchase, IPO Agreements, De-SPAC Process

CAIIB Banking Regulations and Business Laws (BRBL) Syllabus

Here is the CAIIB Banking Regulations and Business Laws (BRBL) syllabus:

CAIIB Banking Regulations and Business Laws Syllabus
Module	Topic	Sub-Topics
Module A	Regulations and Compliance	1. Legal Framework of Regulation of Banks 2. Control over Organisation of Banks 3. Regulation of Banking Business 4. Returns, Inspection, Winding Up, Mergers & Acquisitions 5. Non-Banking Financial Companies (NBFCs)
Module B	Important Acts/Laws & Legal Aspects of Banking Operations (Part A)	1. The Prevention of Money Laundering Act, 2002 2. Negotiable Instruments Act, 1881 3. Foreign Exchange Management Act, 1999 4. Payment & Settlement Systems Act, 2007 5. Law Relating to Securities and Modes of Charge–I 6. Law Relating to Securities and Modes of Charge–II 7. Law Relating to Securities and Modes of Charge–II
Module C	Important Acts/Laws & Legal Aspects of Banking Operations (Part B)	1. Reserve Bank – Integrated Ombudsman Scheme, 2021 2. The Micro, Small and Medium Enterprises Development Act, 2006 3. Introduction to Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 ( SARFAESI Act, 2002) 4. Definitions Under SARFAESI Act, 2002 5. Regulation of Securitisation and Reconstruction of Financial Assets of Banks and Financial Institutions 6. Enforcement of Security Interest 7. Central Registry 8. Offences and Penalties 9. Miscellaneous Provisions 10. Registration of Security Interest by Secured Creditors and Other Creditors/ Rectification by Central Government in Some Cases 11. The Recovery of Debts and Bankruptcy Act, 1993 12. Establishment of Tribunal and Appellate Tribunal 13. Jurisdiction, Powers & Authority of Tribunals 14. Procedure of Tribunals 15. Recovery of Debts Determined by Tribunal and Miscellaneous Provisions 16. Introduction to the Insolvency and Bankruptcy Code, 2016 17. The Bankers’ Books Evidence Act, 1891 18. The Legal Services Authorities Act, 1987: Lok Adalats 19. The Consumer Protection Act, 2019 20. The Law of Limitation 21. Tax Laws
Module D	Commercial & Other Laws with Reference to Banking Operations	1. Meaning and Essentials of a Contract 2. Contracts of Indemnity 3. Contracts of Guarantee 4. Contract of Bailment 5. Contract of Pledge 6. Contract of Agency 7. Meaning and Essentials of a Contract of Sale 8. Conditions and Warranties 9. Unpaid Seller 10. Definition, Meaning, and Nature of a Partnership 11. Relations of Partners to One Another 12. Relations of Partners to Third Parties 13. Minor Admitted to the Benefit of a Partnership 14. Dissolution of a Firm 15. Effect of Non-Registration 16. Definition and Features of a Company 17. Types of Companies 18. Memorandum of Association and Articles of Association 19. Doctrines of Ultra Vires/ Constructive Notice/ Indoor Management 20. Membership of Company 21. Prospectus 22. Directors 23. Limited Liability Partnership Act, 2008 24. Transfer of Property Act, 1882 25. The Right to Information Act, 2005 26. Right to Information and Obligations of Public Authorities 27. Information Technology Act, 2000 28. Prevention of Corruption Act, 1988 29. APPENDIX

Below, we have explained the CAIIB Banking Regulations and Business Laws detailed syllabus.

Module A: Regulations and Compliance

1. Legal Framework of Regulation of Banks

Business of Banking, Constitution of Banks, Reserve Bank of India Act, 1934, Banking Regulation Act, 1949, Reserve Bank as a Central Bank and Regulator of Non-Banking Financial Institutions/Banks, Government as a Regulator of Banks, Control over Co-operative Banks, Regulation by Other Authorities

2. Control Over Organisation of Banks

Licensing of Banking Companies including RBI Licencing Policy for Universal Banks and Small Finance Banks/Branch Licensing, Paid-up Capital and Reserves, Shareholding in Banking Companies, Subsidiaries of Banking Companies, Board of Directors, Chairman of Banking Companies, Appointment of Additional Directors, Restrictions on Employment, Controls over Management, Corporate Governance, Directors and Corporate Governance

3. Regulation of Banking Business

Power to Issue Directions, Acceptance of Deposits, Nominations, Loans, and Advances, Regulation of Interest Rates, Regulation of Payment Systems, Internet Banking Guidelines, Regulation of Money Market Instruments, Banking Ombudsman, Regulation to Strengthen Financial Stability

4. Returns, Inspection, Winding Up, Mergers & Acquisitions

Annual Accounts and Balance Sheet, Audit and Auditors, Submission of Returns, Preservation of Records and Return of Paid Instruments, Special Audit, Inspection and Scrutiny, Board for Financial Supervision, Acquisition of Undertakings, Amalgamation of Banks, Winding up of Banks, Penalties for Offences Public Sector Banks, Private Sector Banks, Regional Rural Banks, Differentiated Banks and Co-operative Banks, Local Area Banks State Bank of India, Regional Rural Banks, Other Public Sector Banks, Application of Banking Regulation Act to Public Sector Banks, Disinvestment of Shares by Government, Co-operative Banks, Private Sector Banks, Differentiated Banks, Local Area Banks

5. Non-Banking Financial Companies (NBFCs)

Regulators of NBFCs, Role of NBFC in promoting Inclusive Growth, Registration, Revised Scale Based Regulatory Structure, Nomenclature and Regulatory Norms, Capital Guidelines, Prudential Guidelines, Corporate Governance, Fair Practices Code for applicable NBFC, Bank Finance to NBFCs registered/not requiring registration with RBI, Co-Lending by banks and NBFCs to PSA Financial Sector Legislative Reforms and Financial Stability and Development Council Narasimham Committees 1/2, Banking Sector Reforms, Reforms in Monetary Policy, Reforms in Financial Markets, Reforms in Forex Market, Financial Sector Development Council (FSDC), Function of the FSDC, Wings of FSDC

Module B: Important Acts/Laws & Legal Aspects of Banking Operations (Part A)

1. The Prevention of Money Laundering Act, 2002

Offence of Money Laundering, Punishment for Money Laundering, Obligations of Banking Companies, Financial Institutions, and Intermediaries, Enhanced Due Diligence, Rules Framed, Records to be Maintained, Information Contained in the Records, Procedure for Maintaining Information, Procedure for Furnishing Information to the Director, Verification of Records of the Identity of Clients, Maintenance of Records of Identity of Clients, Some Cases pertaining to the Act

2. Negotiable Instruments Act, 1881

Negotiable Instruments, Types and Characteristics, Drawer/Acceptor, Payment of Cheques – Protection to Bankers’ /Customers’, Material Alteration, Where Alteration is not apparent, Protection to the Collecting Banker

3. Foreign Exchange Management Act, 1999

Meaning of Certain Important Terms Used in FEMA, Regulation and Management of Foreign Exchange, Powers of RBI with Respect to Authorized Persons, Contravention, Penalties, Adjudication and Appeals, Directorate of Enforcement, Special Provisions relating to Assets held outside India

4. Payment & Settlement Systems Act, 2007

Definitions, Designated Authority/Authorization, Regulation and Supervision by the RBI, Settlement and Netting, Power of RBI to make regulations

5. Law Relating to Securities and Modes of Charge – I

Mortgage, Document of Title to Immoveable Property – Meaning, Copy of Document of Title to Immoveable Property Where Acceptable

6. Law Relating to Securities and Modes of Charge – II

Appropriation, Assignment, Pledge, Hypothecation, Bankers lien, Set-off

7. Creation/Registration and Satisfaction of Charges

What is a Charge?, Procedure for Registration of Charge, Effect of Registration of Charges, Effect of Nonregistration of Charges, Provisions of Companies Act 2013 Relating to Registration of Charges

Module C: Important Acts/Laws & Legal Aspects of Banking Operations (Part B)

1. Reserve Bank – Integrated Ombudsman Scheme, 2021

Coverage and Definitions, Ombudsman–Appointment/Location of Offices/Establishment of a Centralized Receipt and Processing Centre, Procedure for Redressal of Grievance, Procedure for Filing a Complaint / its Initial Scrutiny and Resolution, Passing of an Award and Right to Prefer to Appeal, Suspension of the Scheme

2. The Micro, Small and Medium Enterprises Development Act, 2006

Coverage and Definitions, Summary of Regulation, National Board for Micro, Small and Medium Enterprises (NBMSME)/Advisory Committee, Memorandum of Micro, Small and Medium Enterprises, Delayed Payments to Micro and Small Enterprises, Micro and Small Enterprises Facilitation Council and Reference to the Council in case of Disputes, Disclosures and Penalty for Contravention of the Provisions of the Statute

3. Introduction to Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 ( SARFAESI Act, 2002)

Constitutional Validity of the Act

4. Definitions Under SARFAESI Act, 2002

Preamble, Appellate Tribunal, Asset Reconstruction, Bank, Board, Borrower, Central Registry, Debt Recovery Tribunal, Default, Financial Assistance, Financial Asset, Financial Institution, Hypothecation, Non-performing Asset, Originator, Obligor, Property, Qualified Institutional Buyer, Scheme, Securitization, Security Agreement, Secured Asset, Secured Creditor, Secured Debt, Security Interest, Security Receipt, Sponsor

5. Regulation of Securitisation and Reconstruction of Financial Assets of Banks and Financial Institutions

Registration of Asset Reconstruction Company, Cancellation of Certificate of Registration, Acquisition of Rights of Interest in Financial Assets, Notices to Obligor and Discharge of Obligation of Such Obligor, Issue of Security Receipts and Raising of Funds by Securitization or Reconstruction Company, Exemption from Registration of Security Receipt, Measures of Assets Reconstruction, Other Functions of the Securitization Company or Reconstruction Company, Resolution of Dispute, Powers Available with RBI

6. Enforcement of Security Interest

Enforcement of Security Interest, Chief Metropolitan Magistrate or District Magistrate’s Assistance for Taking Possession of Secured Asset, Manner and Effect of Takeover of Management, No Compensation to Directors for Loss of Office, Application against Measures to Recover Secured Debt, Appeal to Appellate Authority, Right of the Borrower for Compensation and Costs

7. Central Registry

Central Registry, Central Registrar, Register of Securitization, Reconstruction and Security Interest Transactions, Filing of Transactions of Securitization, Reconstruction and Creation of Security Interest, Modification of Security Interest Registered, Satisfaction of Security Interest, Right to Inspect Particulars of Securitization, Reconstruction of Security Interest Transactions

8. Offences and Penalties

Penalties, Penalties for Non-compliance of Directions of Reserve Bank of India, Offences, Cognizance of Offences, Power of Adjudicating Authority to Impose Penalty/Appeals against Penalty and Adjudicating Appellate Authority

9. Miscellaneous Provisions

Non-Applicability of the Provisions of the SARFAESI Act in Certain Cases, Exemption of Certain Classes of Banks /Financial Institutions, Protection of Action Taken in Good Faith, Offences by Companies, Civil Court not to have Jurisdiction, Overriding Effect on Other Laws, Limitation, Power of the Central Government to Make Rules, Amendments to Certain Other Enactments

10. Registration of Security Interest by Secured Creditors and Other Creditors/ Rectification by Central Government in Some Cases

Registration by Secured Creditors and Other Creditors, Rectification by Central Government in Matters of Registration, Effect of the Registration of Transactions, Right of Enforcement of Securities, and Priority Allowed to Secured Creditors

11. The Recovery of Debts and Bankruptcy Act, 1993

Constitutional Validity of the Act, Extent, Commencement, Application and Definitions

12. Establishment of Tribunal and Appellate Tribunal

Establishment of Tribunal, Composition of Tribunal, Qualification for Appointment as Presiding Officer and Term of Office, Staff of Tribunal, Establishment and Composition of Appellate Tribunal, Qualification for Appointment as Chairperson of the Appellate Tribunal and Term of Office, Filling up of Vacancies at Tribunal and Appellate Tribunal, Finality of Orders Constituting Tribunal or an Appellate Tribunal

13. Jurisdiction, Powers & Authority of Tribunals

Jurisdiction, Powers and Authority of Tribunals, Bar of Jurisdiction of Civil Courts

14. Procedure of Tribunals

Application to the Tribunal, Appeal to the Appellate Tribunal, Deposit of Amount of Debt Due for Filing Appeal, Procedure and Powers of the Tribunal and the Appellate Tribunal, Limitation

15. Recovery of Debts Determined by Tribunal and Miscellaneous Provisions

Modes of Recovery of Debts, Validity of Recovery Certificate and Amendment Thereof, Stay and Amendment for Recovery Proceeding and Certificate, Other Modes of Recovery, Application of Certain Provisions of the Income Tax Act, Appeal against the Order of Recovery Officer, Transfer of Pending Cases, Power of Tribunal to Issue Certificate of Recovery in Case of Decree or Order, Chairperson, Presiding Officer and Staff of Appellate Tribunal and Tribunal Public Servants, Protection of Action Taken in Good Faith, Overriding Effect of the Act, Powers to Make Rule

16. Introduction to the Insolvency and Bankruptcy Code, 2016

Definitions, Coverage, Pillars of IBC, 2016, The Insolvency Resolution Process for Companies and Limited Liability Entities, Corporate Insolvency Resolution Process (CIRP), Initiation of Corporate Insolvency Resolution Process by a Financial Creditor, Suspension of Initiation of CIRP, Persons not Entitled to Make Application, Time – Limit for completion of Insolvency Resolution Process and withdrawal of application admitted under the Code, Declaration of Moratorium and Public Announcement by the Adjudicating Authority, Appointment/Tenure of the Interim Resolution Professional, Committee of Creditors, Appointment of Resolution Professional, Liquidation, Order of Priority of Payment of Debts, Fast Track Insolvency Resolution Process, Voluntary Liquidation of Corporate Person

17. The Bankers’ Books Evidence Act, 1891

Applicability and Definitions, Conditions in the Printout, Mode of Proof of Certain Entries in Bankers’ Books, Cases in which Officer of Bank not Compellable to Produce Books, Inspection of Books by Order of Court or Judge, Costs of Application

18. The Legal Services Authorities Act, 1987: Lok Adalats

Organization of Lok Adalats, Jurisdiction of Lok Adalats, Cognizance of Cases by Lok Adalats, Disposal of Cases by Lok Adalats, Nature of Award of the Lok Adalats and Powers

19. The Consumer Protection Act, 2019

Definitions, Unfair Contract, and Unfair Trade Practice, Central, State, and District Consumer Protection Councils, Central Consumer Protection Authority, District, State, and National Consumer Disputes Redressal Commission, Ministry of Consumer Affairs, Food and Public Distribution (Department of Consumer Affairs) Notification dated 30th December 2021, Finality of Orders and Limitation Period, Consumer Mediation Cell

20. The Law of Limitation

Definitions, Limitation and Its Computation, Computation of the Period of Limitation, Acts Giving Rise to Fresh Period of Limitation, Certain Important Provisions in Schedule to the Limitation Act

21. Tax Laws

Income Tax, Commodity Transaction Tax, Goods and Services Tax

Module D: Commercial & Other Laws with Reference to Banking Operations

1. Meaning and Essentials of a Contract

Meaning of Contract, Key Components to Form a Contract Essentials of a Valid Contract, Contract Act and Banking

2. Contracts of Indemnity

Rights of Indemnity Holder, Implied Indemnity, Enforceability of Contract of Indemnity

3. Contracts of Guarantee

Parties to the Contract, Basic Principles of Contract to be complied, Consideration, The Liability of the Surety, Continuing Guarantee, Death of Surety, Variance in Terms of the Contract, Discharge of Principal Debtor, Forbearance to Sue, Release of One Co-surety does not Discharge Other, Surety can Claim His Dues from the Principal Debtor, Security, Misrepresentation made by the Creditor, Implied Promise by the Principal Debtor to Indemnify the Surety, Co-sureties for the Same Debt, Revocation of a Continuing Guarantee

4. Contract of Bailment

Meaning of Bailment, Essential Features of Bailment, Bailor Bound to Disclose to the Bailee, Bailee to take care of Goods, Effects of mixing of Goods and Expenses, Duties of the Bailee with regard to Goods, Bailee’s Lien

5. Contract of Pledge

Ingredients of Pledge, Nature of Pledge, Pledge by Way of Hypothecation, Pledge by Pledgee

6. Contract of Agency

Definition, Contract of Agency, Essential Characteristics of a Contract of Agency, Rules of Agency, Types of Agents, Rights, and Duties of the Agent and Principal

7. Meaning and Essentials of a Contract of Sale

Meaning of some of the Important Terms Defined Under the Sale of Goods Act, 1930, Meaning of Contract of Sale of Goods, Features of Contract of Sale of Goods, Sale and Agreement to Sell, Distinction between a Sale and an Agreement to Sell

8. Conditions and Warranties

Meaning of Condition and Warranty, Implied Conditions and Warranties

9. Unpaid Seller

Rights of an Unpaid Seller

10. Definition, Meaning, and Nature of a Partnership

Meaning and Definition of Partnership, Essential Characteristics, Types of Partnership, Limited Liability Partnership (LLP)

11. Relations of Partners to One Another

General Duties of Partners, Duty to Indemnify the Loss caused by Fraud, Determination of Rights and Duties of Partners by Contract between the Partners, The Conduct of the Business, Mutual Rights and Liabilities, The Property of the Firm, Profits Earned by Partners, Rights and Duties of Partners

12. Relations of Partners to Third Parties

Partner is an Agent of the Firm, Implied Authority of Partner as Agent of the Firm, Extension and Restriction of Partner’s Implied Authority, Partner’s Authority in an Emergency, Mode of Action to Bind Firm, Liability of a Partner for Acts of the Firm, Liability of the Firm for Wrongful Acts of a Partner, Liability of Firm for Misapplication by Partners, Holding Out, Rights of Transferee of a Partner’s Interest

13. Minor Admitted to the Benefit of a Partnership

Minor cannot be a Partner, Legal position after the Minor attains majority, Retirement of a Partner, Insolvency of a Partner

14. Dissolution of a Firm

Dissolution, Dissolution by Agreement, Compulsory Dissolution, Dissolution on the Happening of Certain Contingencies, Dissolution by the Court, Liability for Acts of Partners Done after Dissolution

15. Effect of Non-Registration

Registration

16. Definition and Features of a Company

Definition of a Company, Features of a Company, Distinction between a Company and Partnership

17. Types of Companies

Classifications of Companies on the basis of mode of Incorporation, Classifications of Companies on the basis of Liability, Classifications of Companies on the basis of Public Interest, Holding and Subsidiary Companies

18. Memorandum of Association and Articles of Association

Memorandum of Association, Articles of Association, Effect of Memorandum and Articles, Distinction between the Memorandum of Association and Articles of Association

19. Doctrines of Ultra Vires/ Constructive Notice/ Indoor Management

Doctrine of Ultra Vires, Effects of Ultra Vires Transaction, Constructive Notice of Memorandum of Association and Articles of Association, Effect of the Doctrine of Constructive Notice, Doctrine of Indoor Management

20. Membership of Company

Who is a Member of a Company? Various Modes of Becoming Member of a Company, Who can be Members of a Company?, Cessation of Membership in a Company, Register of Members, Place of Keeping and Inspection of Register of Members, Rights, and Duties (Liabilities) of Members of a Company, Rights of Members

21. Prospectus

What is a Prospectus? Compliance with Respect to Prospectus, Mis-statements in a Prospectus and Remedies

22. Directors

Minimum Number of Directors, Appointment of Directors and Proportion of those who are to Retire by Rotation, Ascertainment of Directors Retiring by Rotation and Filing of Vacancies, Right of Persons other than Retiring Directors to stand for Directorship, Additional Directors, Filling of Casual Vacancies among Directors, Consent to the Company, Consent to be filed with Registrar of Companies, Whole-time Director, Qualification Shares, Maximum Number of Directorships, Vacation of Office by Directors, Certain Powers can be exercised only at Meetings of the Board, Restrictions on Powers of Board, Loan to Director, Contracts in which Directors are Interested, Alternate Director, Compensation for Loss of Office.

23. Limited Liability Partnership Act, 2008

Definitions, A Body Corporate, Partner/Designated Partner, Liabilities of and changes in Designated Partners, Incorporation of a Limited Liability Partnership, Partners and their Relations, Conversion

24. Transfer of Property Act, 1882

Sale of Immoveable Property, Mortgage of Immoveable Property, Types of Mortgage, Sale without Court Intervention, Enforcement of Mortgages through Court, Leases of Immoveable Property, Actionable Claims

25. The Right to Information Act, 2005

Applicability, Definitions

26. Right to Information and Obligations of Public Authorities

Obligations of Public Authorities, Procedure for obtaining Information, Disposal of Request, Appeal, Orders in Appeal, Penalties

27. Information Technology Act, 2000

Definitions, Electronic Governance, Certifying Authorities, Digital Signature Certificates, Penalties, Appeal, Investigation, Critical Information Infrastructure –Protected System, Application of the Act to Electronic Cheque and Truncated Cheque,

28. Prevention of Corruption Act, 1988

Definitions, Special Judges, Offences and Penalties, Fixing of Fine, Persons authorized to investigate, Powers to inspect ‘Bankers Books’, Appeal and Revision

29. APPENDIX

Important Provisions / Sections of Certain Acts

Now that you have understood the syllabus of compulsory CAIIB papers, let’s understand the syllabus of elective CAIIB papers in detail.

CAIIB Rural Banking Syllabus (Elective)

Here is the CAIIB Rural Banking syllabus:

CAIIB Rural Banking Syllabus
Module	Topic	Sub-Topics
Module A	Rural India	1. Demographic Features 2. Characteristics of Rural Society 3. Economic Features 4. Infrastructure 5. Agriculture Economy 6. Rural Development Policies 7. Issues Concerning Rural Areas
Module B	Financing Rural Development	1. Regulation of Rural Financial Services 2. Rural Credit Institutions 3. Financing Agriculture and Allied Activities 4. Financing Rural Non-Farm Sector 5. SME Finance 6. Concepts of Project, Aspects of Project Formulation & Appraisal & Model Bankable Projects
Module C	Priority Sector Financing & Govt. Initiatives	1. Priority Sector Lending 2. Poverty Alleviation Programs 3. Rural Housing and Education Loans 4. Initiatives of R.BI under Financial Inclusion & Financial Education Programs and implementation of various Poverty Reduction Programs
Module D	Problems & Prospects in Rural Banking	1. Role of Banking – Emerging Trends in Rural Banking Characteristics of Rural Society 2. Role of Technology in Financial Inclusion and Rural Development 3. Financing Poor as Bankable Opportunities: Micro Credit and Self Help Groups

Below, we have explained the CAIIB Rural Banking detailed syllabus.

Module A: Rural India

1. Demographic Features

Population; Literacy; Sixth Economic Census; Agriculture Census; Socio Economic Development Indicators; Health; Nutrition; Education; Rural-Urban Migration

2. Characteristics of Rural Society

Social Stratification; Local Institutions; National Institute of Rural Development and Panchayati Raj (NIRD & PR)

3. Economic Features

Agriculture; Non-Farm Activities; Gross Domestic Product and Gross Value Added; Rural Money Markets – Formal and Informal Rural Money Markets; Rural Indebtedness; Rural Poverty; Different Methods of Measuring Poverty Line; Sustainable Development Goals

4. Infrastructure

Infrastructure in India; Transport; Markets; Rural Electrification; Other Services

5. Agriculture Economy

Structure and Characteristics of Indian Agriculture; Role of Agriculture in Economic Development; Agriculture-Industry Linkage; Issues in Economic Development; Resources in Agriculture; Technical Change in Agriculture; Constraints in Agricultural Development; Emerging Issues in Agriculture; National Mission for Sustainable Agriculture (NMSA)

6. Rural Development Policies

Rural Development Schemes; Skill Development and Entrepreneurship Initiatives; Shyama Prasad Mukherji Rurban Mission (SPMRM); Programs for Development of Backward Areas; Power Supply to Rural India Program; Development of Dryland Farming; Soil and Water Conservation; Rural Infrastructure Development Fund; Economic Reforms; Financial Sector Reforms; Impact of Reform in Rural Economy; Reforms after 1998-99

7. Issues Concerning Rural Areas

Components of Rural Development; Approaches to Rural Development since Independence; Sustainable Rural Development; Necessity for Rural Development; Measures for Development; Rural Development and Rural Management; Key Issues Concerning Rural Management; Marketing Management; Importance of Agricultural Prices

Module B: Financing Rural Development

1. Regulation of Rural Financial Services

Overall Set Up of Rural Financial Institutions (RFIs); Function and Policies of RBI in Rural Banking; Role and Functions of NABARD; Lead Bank Scheme

2. Rural Credit Institutions

Cooperative Credit System; Regional Rural Banks; Commercial Banks and Rural Financing; Other Financial Institutions Catering to Rural Areas; Initiatives for Augmenting Credit Flow; Role of Information and Communication Technologies in Rural Banking; Rural Development Banking – Initiatives for Inclusive Growth; Rural Insurance and Micro Insurance; Micro Finance Institutions; Concept of Business Facilitators and Business Correspondents in Rural Banking

3. Financing Agriculture and Allied Activities

Crop Loans – Production Credit; Features of Kisan Credit Card Scheme; Basic Features of NABARD Refinance Support to Cooperative Banks and RRBs for Crop Production activities; Bank’s Role in Provision of Relief in Areas Affected by Natural Calamities; Term-Loans for Agriculture and Allied Activities; Features of Major Sectors for which Opportunities are Available for Provision of term Credit by Banks; Advance against Gold Ornaments

4. Financing Rural Non-Farm Sector

Rural Non-Farm Sector – Facilitative Set Up, Importance, Structure and Growth, Strength and Issues Concerning the Sector; Promotion of Traditional Industries; Raw Material Supply – Arrangements; Marketing Assistance; Institutional Finance; Technology Development and Training

5. SME Finance

Definition of SME; Importance of the sector to the Indian Economy; Arrangements for provision of credit to the MSME sector; Appraisal of MSME loan proposals – techniques and Requirement assessment of Projects for term loans; SIDBI’s assistance to the MSME Sector and its development role; Policy prescriptions of RBI for the growth of MSME Sector; Initiatives taken by GOI for the development of MSME Sector; Problems faced by MSMEs; Delayed Payments to Micro and Small Enterprises under the Micro Small and Medium Enterprises Development (MSMED) Act, 2006; Performance and Credit Rating Scheme (PCRS); Framework for Revival and Rehabilitation of MSMEs

6. Concepts of Project, Aspects of Project Formulation & Appraisal & Model Bankable Projects

Aspects of Project Preparation; The Project Cycle; Minor Irrigation Schemes; Lift Irrigation; Financing Micro Irrigation Structures; Land Development Schemes; Farm Mechanization; Financing Plantation and Horticulture; Dairy Development Schemes; Poultry Farming; Sheep Breeding; Goat Rearing; Pisciculture; Bee Keeping; Financing Rural Godowns; Financing Sericulture; Financing Mushroom Cultivation

Module C: Priority Sector Financing & Govt. Initiatives

1. Priority Sector Lending

Evolution of Priority Sector Lending; Guidelines on Priority Sector Lending – Categories; NonAchievement of Priority Sector Targets; Common Guidelines for Priority Sector Loans; Priority Sector Credit Achievement

2. Poverty Alleviation Programs

Poverty Assessment and Way Forward; Initiatives of the Government – Features of the Schemes Implemented for Poverty Reduction; Welfare Schemes

3. Rural Housing and Education Loans

Rural Housing: an Introduction; Pradhan Mantri Awas Yojana (Grameen); Education Loan

4. Initiatives of R.BI under Financial Inclusion & Financial Education Programs and implementation of various Poverty Reduction Programs

National Strategy for Financial Inclusion; National Strategy for Financial Education; Direct Benefit Transfer; Guidelines Issued by RBI under NRLM/NULM; Relief Measures by Banks in areas Affected by Natural Calamity-RBI Guidelines to Banks; Credit Facilities to SCs/STs; Credit Facilities to Minority Communities; Poverty Alleviation/Employment Generation Programs

Module D: Problems & Prospects in Rural Banking

1. Role of Banking – Emerging Trends in Rural Banking Characteristics of Rural Society

Present Scenario; Areas of Concern and Actions Pursued; Present Focus on Banking in Rural Areas; Inclusive Banking Activities

2. Role of Technology in Financial Inclusion and Rural Development

Transformational Role of Digital Technologies; Technology for Adoption of Improved Agricultural Practices; Scope for Using Digital Technology for Growth in Agriculture; Modern Management of Agriculture – Possible Technological Components; Benefits of Usage of Technology in Agriculture for the Society and the Nation; Common IOT Devices/Equipment in Agriculture for Agri-Solutions; Technology and Value Chain Operations; Progress of IOT in World Agriculture; Progress of IOT in Indian Agriculture; Other Initiatives for Development of Rural Areas; Financial Technology in Financial Inclusion Space

3. Financing Poor as Bankable Opportunities: Micro Credit and Self Help Groups

Microcredit Delivery Models; SHG-Bank Linkage Program (SBLP) Approach; Micro Finance Institutions (MFIs); Role of NABARD as Microfinance Facilitator; SIDBI & Micro Credit; Initiatives by RBI and GOI

CAIIB Human Resources Management Syllabus (Elective)

Here is the CAIIB Human Resources Management syllabus:

CAIIB Human Resources Management Syllabus
Module	Topic	Sub-Topics
Module A	Human Resource Management	1. Fundamentals of HRM 2. Organisational Behaviour 3. Organisational Change 4. HRM in Indian Banks 5. Knowledge Management
Module B	Building an HR Strategy	1. HR as a Strategic Player 2. CEO and his/her Team 3. Communication 4. HR Functions 5. Performance Management
Module C	Motivation, Training, and Skill Development	1. The Learning Process 2. Employee Motivation 3. Employee Development 4. Training Methodology
Module D	Personnel Management and Industrial Relations	1. Industrial Relations (Part A) 2. Industrial Relations (Part B) 3. Employee Discipline (Grievance Redressal and Discipline) 4. Workers’ Participation in Management (WPM) 5. Employee Discipline (Discipline Management)
Module E	Emerging Scenario in HRM	1. Contemporary Practices in Employee Engagement 2. Organisational Culture & Creativity: New Imperatives 3. ‘Corporate Sustainability’ & ‘Green HRM’: A Social & Environmental Approach to People Management 4. ‘HR Analytics’, ‘HR Entrepreneurship’ & ‘AI-Based HR Solutions’: New HR Trends for Future 5. Leading in a ‘VUCA’ & ‘BANI’ Scenarios: New Approaches in ‘Crisis Management’ 6. ‘Business Ethics’, ‘Corporate Governance’ & ‘Corporate Social Responsibility’: A Winning Combination for Organisational Excellence

Below, we have explained the CAIIB Human Resources Management detailed syllabus.

Module A: Human Resource Management

1. Fundamentals of HRM

Fundamentals of HRM; New Insights into HR Management; Ethics in Human Resource Management (HRM)

2. Organisational Behaviour

Behavioural Dynamics in Organisations; The Person – Job Fit; Group Dynamics; Leadership and Team Effectiveness; Some Contemporary Approaches to Leadership; Transformational Leadership; Human Resource Implications of Benchmarking; Quality Initiatives in Organisations; ‘Quality Circle’: A HR Strategy to Quality Improvement; ‘Six Sigma’: A Model for Improving in Business Processes; Positive Attitude: The Core Behavioural Capital of Organisations; Stress Management; Business Etiquettes

3. Organisational Change

Change and Development; Change Agent; Managing Change; John P Kotter’s eight step to successful change; ‘Responsibility Charting’

4. HRM in Indian Banks

Traditional Role of HRM in Indian Banks; Expectations from HR Department; Changing Profile of ‘HRM’ in Banks; Major HRM Challenges Facing Banks; Core Banking and People Challenges

5. Knowledge Management

Concept of Knowledge Management (KM); Significant Features of Knowledge Management; Knowledge Management in Banks; IT & Database Management

Module B: Building an HR Strategy

1. HR as a Strategic Player

HR as a Strategic Player & Strategic HRM; HR Strategy Formulation and Implementation; Need for a Distinctive HR Strategy; Creating Business Value Through HR Strategy; ‘Factor Analysis’ in HRM; Connecting ‘Strategy’ to Organisations; Strategy Execution; Aligning HR System with Decision Framework

2. CEO and his/her Team

Roles and Responsibilities of CEO; CEO and Talent Management; Executive and Line Managers; Succession Planning; ‘Job Family’: An Integrated Model for sustained Succession Planning & Talent Management; Human Resource Audit

3. Communication

Organisational Communication; Types of Communication; Barriers to Effective Communication; Steps for Effective Communication; HR and Communication

4. HR Functions

Human Resource Planning (HRP); Recruitment and Selection; Impact of Technology on Critical HR Functions; ‘Social Media Policy’ forOrganisations: Need and Contents thereof; Compensation; Incentive Based Compensation; Attrition/Turnover Management; Employee Risk Assessment Systems in Banks

5. Performance Management

Performance Management System (PMS); Performance Appraisal System; 360-Degree Appraisal; Competency Mapping; Key Result Areas (KRAs)

Module C: Motivation, Training, and Skill Development

1. The Learning Process

Human Implications of Organisations; The Learning Theory; The Learning Process; Employee Behaviour

2. Employee Motivation

Types of Motivation; Motivational Theories; Employee Attitude Development; Practical Applications of Motivation; Job Enrichment; Job Enlargement; Job Rotation; Job Satisfaction

3. Employee Development

Basic Objectives of ‘Training’; Training & Development: Its Need; Concepts and differences of ‘Training’, ‘Development’ and ‘Learning’; ‘Training Need’: Methods for Identification of Training Needs; Role and Impact of Training; Changing Face of Banking in India; Future of Bank Education in India

4. Training Methodology

Subject Matter of Training: ‘Learning Organisations’; Training Methodology; Current Trends in Training; Types of Training; Benefits of Training; Training & Career Development; Soft Skills Training; Challenges in Training in Banks; Training Infrastructure in Banks; Talent Management; Creative Talents & Dynamic Leadership: A Winning Combination; Strategies to hone up Leadership Skills; Training for the New Generation; Return on Investment (RoI) on Training; Measuring the Success of Training; Best Practices in Training to Help Organisations

Module D: Personnel Management and Industrial Relations

1. Industrial Relations (Part A)

Personnel Function; Legal Aspects of Personnel Function; Legislation on Working Conditions; Industrial Relations Code 2020; Legislation on Wages; Legislation on Social Security; Legislation on Employment and Training; The Changing Scenario

2. Industrial Relations (Part B)

Historical Background of Trade Union Movement; Trade Unions in Banks; Industrial Relations; Collective Bargaining

3. Employee Discipline (Grievance Redressal and Discipline)

‘Grievance’: Concept and Definition; Causes & Effects of ‘Grievance’; Grievance Redressal Mechanism; Conflict Management; Management Dilemma

4. Workers’ Participation in Management (WPM)

‘Participation’: Concept & Definition, Types; Methods of Participation; Indian Banking Experience on Workers’ Participation in Management (WPM)

5. Employee Discipline (Discipline Management)

Discipline at Workplace; Discipline Management; Disciplinary Rules in Banks; Domestic Enquiry; Frauds in Banks; The Risk Attached to Delegation of Financial Powers; Need for Vigilance Department in Banks; Diversity and Gender Issues; Dealing with Cases of Sexual Harassment; The Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 (POSH ACT)

Module E: Emerging Scenario in HRM

1. Contemporary Practices in Employee Engagement

Concept and Definition of ‘Émployee Engagement’; Various features and characteristics of ‘Employee Engagement’; Drivers of ‘Émployee Engagement’; Need for creative strategies for engaging Gen ‘Y’ Employees; Contemporary ‘Employee Engagement’ strategies; ‘Work From Home’: Emerging New Normal in Organisations; Strategies to Keep Employees Engaged When They are Working From Home (WFH); ‘Hybrid Model’ of working: Unifying the Physical and Virtual; ‘U-Work’ & ‘Ópen2u’: New and Novel Employment Models; Legal Frame-Work in India to Regulate New Models of Work

2. Organisational Culture & Creativity: New Imperatives

Definition and Characteristics of ‘Individual Culture’ and ‘Organizational Culture’; Concept and Features of ‘Individual Creativity’ and ‘Organisational Creativity’; Distinction between ‘Creativity’ & ‘Ínnovation’; Impact of ‘Culture’ on ‘Creativity’ and Vice-Versa in Organisations; Essential Qualities of a ‘Creative Leader/Manager’; Strategies to Create ‘Ethical Organizational Culture’

3. ‘Corporate Sustainability’ & ‘Green HRM’: A Social & Environmental Approach to People Management

Concept of ‘Corporate Sustainability’; Evolution from ‘Strategic HRM’ to ‘Sustainable HRM’; Various Forms of ‘Sustainable HRM’; ‘Green HRM’: An Environmental Approach to HRM; ‘Green HRM’ Practices in Banking Industry: Possibilities and Prospects; The Way Forward

4. ‘HR Analytics’, ‘HR Entrepreneurship’ & ‘AI-Based HR Solutions’: New HR Trends for Future

‘HR Analytics’: Conceptual Understanding; ‘HR Metrics’ vs ‘HR Analytics’; Advantages and Disadvantages of ‘HR Analytics’; ‘HR Entrepreneurship’: The future Buzzword; Introduction to ‘Artificial Intelligence’; Role of ‘Artificial Intelligence’ in HR Functions

5. Leading in a ‘VUCA’ & ‘BANI’ Scenarios: New Approaches in ‘Crisis Management’

‘Crisis’: Concept, Definition, Features & Sources; ‘Crisis Management’: Concept, Features & Need; FourLevels of ‘Uncertainty’: Strategies to Manage; ‘VUCA’: Gravity-Driven Approach to ‘Uncertainty’ and ‘Crisis Management’ in Organizations; Evolution of ‘BANI’ Approach in Crisis Management; ‘VUCA’ or ‘BANI’: Which is to be the Vision for Organisations to Deal with the Crisis?; Typical Models of ‘Crisis Management’ Process; Role of HR in ‘Crisis Management’ Process; Leadership Role in ‘Crisis Management’; Role of Employees in ‘Crisis Management’

6. ‘Business Ethics’, ‘Corporate Governance’ & ‘Corporate Social Responsibility’: A Winning Combination for Organisational Excellence

‘Business Ethics’: A Treasure of Trust; Areas of ‘Business Ethics’; Theories of ‘Business Ethics’; Characteristics of an ‘Ethical Organisation’; ‘Corporate Governance’: Shareholders’ Primary; Major Best Practices for Improving ‘Corporate Governance’; Ethical issues in ‘Corporate Governance’; ‘Corporate Social Responsibility’(CSR): A Resolve Towards Commitment to ‘Business Ethics’ & ‘Social Wellbeing; Various Models of ‘Corporate Social Responsibility’; ‘Corporate Social Responsibility’: Indian Experience

CAIIB Information Technology & Digital Banking Syllabus (Elective)

Here is the CAIIB Information Technology & Digital Banking syllabus:

CAIIB Information Technology & Digital Banking Syllabus
Module	Topic	Sub-Topics
Module A	Information Technology & Digital Banking	1. Information Technology and its Implications 2. Introduction to Computing 3. Introduction to Software 4. Networking Systems
Module B	Systems & Design	1. Introduction to Information Systems 2. Database Management Systems 3. Data Warehousing and Data Mining
Module C	Banking Technology Applications & Digital Banking	1. E-Learning Environment 2. Banking Software 3. Electronic Clearing and Settlement Systems 4. Plastic Money 5. Electronic Commerce and Banking 6. IT Act 2000 / 2008 7. Emerging Technologies
Module D	Information System Security Controls & Audit	1. Computer Security 2. Communication Security 3. Information System Audit 4. Competitive Bid Process – RFP and SLA 5. RBI Guidelines on Cyber Security (2016) & Digital Payment Security (2021)

Below, we have explained the CAIIB Information Technology & Digital Banking detailed syllabus.

Module A: Information Technology & Digital Banking

1. Information Technology and its Implications

Impact of Information Technology, Strategic Issues and IT

2. Introduction to Computing

Introduction to Computer, Data Processing and methods, Computing Environments, Virtualization of Servers

3. Introduction to Software

Computer Software, Open Source Software, Web Browsers

4. Networking Systems

Data Communications, Wan Technology Overview, TCP/IP & Internet

Module B: Systems & Design

1. Introduction to Information Systems

Introduction to Information Systems, Types of information systems, Management Information System Structure, Decision Support System (DSS), Executive Information Systems (EIS), Group Decision Support Systems (GDSS), Project Management, Capability Maturity Model (CMM), Building Data Centers

2. Database Management Systems

DBMS Concepts, Relational database, Normalization of a Database, Oracle

3. Data Warehousing and Data Mining

Need for Data Warehouse, A Data Warehouse Architecture, Data Warehouse Options, Developing Data Warehouses, Business Intelligence – Expert Systems & Artificial Neural Networks, Data Mining, Emerging Trends in Data Warehousing & Analytics

Module C: Banking Technology Applications & Digital Banking

1. E-Learning Environment

E-Learning, Standards, Design, Virtual Classroom, Emerging Trends in E-Learning and Impact of Pandemic

2. Banking Software

Banking software, Integrated Banking System (IBS), Centralized banking solution, Features of an online banking web site, Internet Service Providers/Hosting/Bandwidth/Data Download & Upload, Emerging Trends in Banking Software, IT Services in Banking – Vendor selection and retention criteria

3. Electronic Clearing and Settlement Systems

Electronic clearing/settlement systems, MICR/OCR/CTS clearing system, Debit Clearing System, Credit Clearing System, Real Time Gross Settlement (RTGS), National Electronic Fund Transfer (NEFT), National Payments Corporation Of India (NPCI) and its Products & Services, Structured Financial Messaging System (SFMS)

4. Plastic Money

Credit Cards, Debit Cards, Smart Cards, CVV or CSC Number, RuPay Card, Payment Gateway & Secure Electronic Transaction (SET), ATM & Point Of Sale (POS), Card Tokenization

5. Electronic Commerce and Banking

E-business, Electronic Commerce, E-Commerce Building Blocks, E-banking, Mobile Payments, SMS Banking & Banking Alerts, The Call Center, EBPP, Emerging Trends in Digital Payments

6. IT Act 2000/2008

Introduction To IT Act 2000,Legal Definition of Computer Crime, Some Legal Issues, Gist of Offenses Under IT Act 2000, Amendment To IT Act in 2008, Digital Rights Management (DRM), Latest Developments

7. Emerging Technologies

Open Banking, APIS & Embedded Banking, Advanced & Big Data Analytics, Blockchain, Artificial Intelligence (AI) & Machine Learning (ML), Cyber Security- Zero Trust Security Model, 5G Network, Fintech & Cloud Computing, Digital Banking Units (DBUs), Central Bank Digital Currencies (CBDCs)

Module D: Information System Security Controls & Audit

1. Computer Security

Physical security, Logical security, Network security, Biometric security, ISO 27000 Series Standards & Basel Recommendations on E-Banking, Computer Viruses and Frauds

2. Communication Security

Cryptography, Digital Signatures, Public-Key Infrastructure (PKI), Certification Authorities Business Continuity and Disaster Recovery planning Business Continuity Plan vs Disaster Recovery Plan, Business Continuity Planning, RBI Guidelines on Business Continuity Planning, Disaster Avoidance, Disaster Recovery Planning

3. Information System Audit

The Concept, System Audit Procedures, System Audit – Security, IS Audit controls & Approaches, RBI Guidelines on IS Audit

4. Competitive Bid Process – RFP and SLA

Competitive Bid Process – RFP, RFP Process, Evaluation of Proposals, Contract Co-Ordination, Service Level Agreement (SLA), SLA Processes, Structuring an SLA, SLA Management, RBI Guidelines on IT Services Outsourcing

5. RBI Guidelines on Cyber Security (2016) & Digital Payment Security (2021)

Difference Between Cyber Security and Information Security, RBI Guidelines on Cyber Security in Banks – June 2016, Master Directions of RBI on Digital Payment Security Controls (Effective from August 2021)

CAIIB Risk Management Syllabus (Elective)

Here is the CAIIB Risk Management syllabus:

CAIIB Risk Management Syllabus
Module	Topic	Sub-Topics
Module A	Risk & Risk Management Framework	1. Why Banks are Special 2. Risks and Risk Management in Banks 3. Risk Management Framework 4. Asset Liability Management and Interest Rate Risk in Banking Book 5. Liquidity Risk Management
Module B	Credit Risk	1. Credit Risk Management Framework 2. Obligor/Borrower Risk 3. Credit Rating System 4. Portfolio Credit Risk 5. Credit Risk Models 6. Measurement of Credit Risk 7. Credit Derivatives
Module C	Market Risk	1. Market Risk 2. Fixed Income Securities 3. Measurement of Interest Rate Risk 4. Value at Risk
Module D	Operational Risk	1. Operational Risk and Operational Risk Management Framework 2. Collection of Internal Loss Data and External Loss Data 3. Risk and Control Self-Assessment (RCSA) & Key Risk Indicator (KRI) 4. Technology Risk 5. Corporate Governance 6. Climate Risk and Sustainable Finance
Module E	Basel & RBI Guidelines on Risk Management	1. Why Do Banks Need Regulation? 2. Global Financial Crisis and Basel III 3. Regulatory Capital and Capital Adequacy 4. Capital Allocation Against Market Risk 5. Capital Charge for Operational Risk 6. Stress Testing 7. Market Discipline 8. Basel III Buffers, Liquidity Ratios, Leverage Ratio 9. Risk-Based Supervision 10. Risk-Based Internal Audit
Module F	Derivatives & Risk Management	1. Derivatives and Risk Management 2. Forward Contract 3. Futures 4. Options 5. SWAP 6. APPENDIX: Statistical Concepts  a. Statistical Measures b. Probability Theory

Below, we have explained the CAIIB Risk Management detailed syllabus.

Module A: Risk & Risk Management Framework

1. Why Banks are Special

Functions Banks Perform, Bank’s Role in the Economy, Other Uniqueness of Banks

2. Risks and Risk Management in Banks

What is Risk?, Definition of Risk, Risk in Banks, Business Risk vs Control Risk, Financial Risk vs Non-Financial Risk, Interconnectedness Among Banking Risks, Recent Developments Connected with Risk Management, Banking Reforms in India, New Trends in Indian Banking System, Risk Management Going Ahead, Various Types of Risks Faced by a Bank, Non-Financial Risks

3. Risk Management Framework

Lessons from Crisis, Benefits of Risk Management, Risk Management Concept, Risk Management Approach, Risk Culture, Risk Management Architecture, Elements of Risk Management Framework, Organisational Structure, Risk Management Policy, Risk Appetite, Risk Limits, Risk Identification Process, Risk Measurement, Risk Mitigation, Risk Monitoring and Risk Control, Management Information System, Enterprise Risk Management, Events-Risk and Opportunity, Enterprise Risk Management Defined, Achievement of Objectives, Components of Enterprise Risk Management, Relationship of Objectives and Components, Effectiveness, Encompasses Internal Control

4. Asset Liability Management and Interest Rate Risk in Banking Book

What is ALM?, Objectives of ALM, ALM Process, Interest Rate Risk, Duration GAP Analysis, Measurement System Reports, Stress Testing, Back Testing, Interest Rate Risk Mitigation

5. Liquidity Risk Management

What is liquidity?, Liquidity and solvency, Forms of liquidity risk, Liquidity Management, Factors contributing to liquidity risk, Liquidity risk and Balance Sheet, Risk Management framework for Liquidity Risk, Identification and measurement of liquidity risk

Module B: Credit Risk

1. Credit Risk Management Framework

What is Credit Risk?, Obligor (or) Borrower Level Risk vs Portfolio Risk, Systematic vs Unsystematic Risk, Need for Credit Risk Management Framework, Credit Risk Culture, Building Blocks of Credit Risk Management, Strategy, Financial Goals, Risk Appetite, Portfolio Risk and Reward, Loan Policy, Due Diligence Process, Loan Approval Process, Limits on Aggregate Loans and Commitments., Underwriting Criteria, Exceptions to Credit Policy, Organization Structure

2. Obligor/Borrower Risk

Business Risk (or) Operating Risk, Financial Risk, Interaction between Business Risk and Financial Risk, Different Risk Levels, Sources of External Risk, Industry Risk Analysis, Entity Level Risk, Financial Risk

3. Credit Rating System

What is Credit Rating?, Usefulness of Rating System for Banks, Features of Internal Credit Rating System, Rating Exercise and Rating Assignment, Rating by External Rating Agencies

4. Portfolio Credit Risk

Systematic Risk, Unsystematic/ idiosyncratic/Diversifiable Risk, Concentration Risk, Correlation Risks

5. Credit Risk Models

Uses of Credit Models, Types of Models

6. Measurement of Credit Risk

Probability of Default (PD), Methods for Estimating PD, Exposure at Default, Loss Given Default (LGD), Portfolio Assessment of Credit Risk, Risk Adjusted Return on Capital (RAROC), Application of the Concept of Economic Capital in RAROC Model, Uses of RAROC, Risk Based Pricing, Methods of RiskBased Pricing

7. Credit Derivatives

What is a Credit Derivative?, Protection Buyer, Protection Seller, Advantages to the Protection Buyer, Advantages to the Protection Seller, Credit Events, Payout, Credit Default Swap, Total Return Swap (TRS), Credit Options, Credit-Linked Notes

Module C: Market Risk

1. Market Risk

What is Market Risk?, Trading Portfolio in a Bank, Interest Rate Risk, Equity Price Risk, Foreign Ex- change Risk, Commodity Price Risk, Liquidity Risk, Credit and Counterparty Risks, Model Risk, Market Risk Management Framework, Organizational Structure to Manage Market Risk, Organizational Structure for Trading Activity, Risk Management Strategy, Policies and Procedures

2. Fixed Income Securities

What is a Bond?, Government of India in the Bond Market, Bond Market in India, Bond Valuation

3. Measurement of Interest Rate Risk

Measurement of Interest Rate risk, Sensitivity approach, Price value of a Basis point method, Computation of portfolio PVBP, Hedging using basis point value, Other uses of PVBP, Duration, Definition of duration, Properties of duration, Portfolio duration, Modified Duration and Price elasticity of interest rate, Price volatility characteristics of Bonds, Convexity, Bond portfolio management

4. Value at Risk

Historical background, Definitions of VaR, Assumptions for calculation of VaR, Building blocks of VaR, VaR methodology, Comparison of different methodologies to compute VaR, Comparative advantages and disadvantages of various methods to compute VaR, Limitations of VaR, Extreme Value Theory, Stress Test, Back testing of VaR models

Module D: Operational Risk

1. Operational Risk and Operational Risk Management Framework

Developments Giving Rise to Increasing Operational Risk, Peculiarity of Operational Risk, Definition of Operational Risk, Operational Risk Culture, Operational Risk Organizational Framework, Policy Guidelines and Strategic Approach, Operational Risk Identification Process, Assessment of Operational Risk

2. Collection of Internal Loss Data and External Loss Data

Collection of Loss Data, Minimum Loss Data Standard, Specific Criteria on Loss Data Identification, Collection and Treatment, Near-Misses and Opportunity Costs, External Loss Data, Root-Cause Analysis

3. Risk and Control Self-Assessment (RCSA) & Key Risk Indicator (KRI)

RCSA Process, Defining Inherent Risk, Study of Effectiveness of Control, Computation of Risk Zone, Color-Coded Risk Levels, Key Risk Indicators, Various Forms of KRI, Selecting KRIs, Risk Appetite, Scenario Analysis, Uses of KRIs

4. Technology Risk

Basic Principles of Information Security, Information Security Governance, Organizational Structure, Roles and Responsibilities, Critical Components of Information Security, Security Measures Against Malware, Patch Management, Change Management, Audit Trails, Information Security Reporting and Metrics, In- formation Security and Critical Service Providers/Vendors, Network Security, Remote Access, Distributed Denial of Service Attacks (DDoS/DoS), Implementation of ISO 27001 Information Security Management System, Wireless Security, Business Continuity Considerations, Information Security Assurance, General Information Regarding Delivery Channels, Emerging Technologies and Information Security, Implementation of Recommendations of the Working Group on Information Security,Electronic Banking, Technology Risk Management and Cyber Frauds

5. Corporate Governance

Corporate Governance Definition, Corporate Governance – Banking Industry Perspective, Basel Commit- tee and Corporate Governance, Importance of Risk Management in Corporate Governance, Benchmarking Risk Governance

6. Climate Risk and Sustainable Finance

Climate Situation in India, Basel Committee and Climate Risk, Climate Risk, Unique Characteristics of Climate Change and Implication, Financial Risks Emerging from Climate Related Risk, Climate Risk Management Framework, Green Finance for Sustainable Development

Module E: Basel & RBI Guidelines on Risk Management

1. Why Do Banks Need Regulation?

Need for Regulation of Banks, Banking Regulation and Supervision, Banking Regulation and Supervision in India, Global Banking Regulation, Basel Committee on Banking Supervision, The Concordat, Basel-I Accord, Basel Committee Amendment 1996, Basel II Accord

2. Global Financial Crisis and Basel III

Regulatory Shortcomings and Regulatory Reform, Response of Basel Committee to Global Financial Crisis

3. Regulatory Capital and Capital Adequacy

Bank Capital: An Accounting Residual, Why Bank Needs Capital, Should Regulator Prescribe Minimum Capital for Banks?, Basel III Capital Regulation, Standardized Approach – Capital Charge for Credit Risk, Off-Balance Sheet Items, Total Counterparty Risk, External Credit Assessments, Applicability of ‘Issue Rating’ to Issuer/Other Claims, Credit Risk Mitigation, Internal Rating Based Approach

4. Capital Allocation Against Market Risk

Scope and Coverage of Capital Charge for Market Risks, Measurement of Capital Charge for Interest Rate Risk

5. Capital Charge for Operational Risk

Definition of Operational Risk, The Measurement Methodologies, The Basic Indicator Approach, The Standardized Approach, Advanced Measurement Approach, Shortcomings of Present Approaches for Calculating Capital Requirement for Operational Risk, New Standardized Approach, Business Indicators, Risk Weighted Assets, Technical Guidance Note on Minimum Capital Requirements for Operational Risk Supervisory Review Process and Internal Capital Adequacy Assessment Process (ICAAP) Objective of Pillar 2 Supervisory Process, ICAAP Principles, Definitions, Coverage by ICAAP, The Structural Aspects of the ICAAP, Risk Appetite, Actual and Target Risk Structure, Identifying, Measuring, Monitoring and Reporting of Risk, Internal Control, Submission of the Outcome of the ICAAP to the Board and the RBI, ICAAP to be an Integral part of the Management and Decision-Making Culture, The Principle of Proportionality, RegularIndependent Review and Validation, ICAAP to be a Forward-Looking Process, ICAAP to Include Stress Tests and Scenario Analyses, Identifying and Measuring Material Risks in ICAAP, Capital Planning, Capital Allocation

6. Stress Testing

Stress Testing Part of ICAAP, Objective, Stress Testing Process, Sensitivity Analyses, Scenario Analyses, Reverse Stress Testing, Stress Testing Framework, Single Factor Stress Tests, Classification of Banks for the Purpose of Stress Testing, Prompt Corrective Action (PCA) Framework for Scheduled Commercial Banks, Criteria for PCA

7. Market Discipline

General, Definition, Achieving Appropriate Disclosure, Interaction with Accounting Disclosures, Validation, Materiality, Proprietary and Confidential Information, General Disclosure Principle, Regulatory Disclosure Section

8. Basel III Buffers, Liquidity Ratios, Leverage Ratio

Objectives of Capital Buffers, Capital Conservation Buffer Framework, Counter – Cyclical Capital Buffer, Domestic Systemically Important Banks, Leverage Ratio, Liquidity Standards, Net Stable Funding Ratio

9. Risk Based Supervision

Background, Reserve Bank of India Initiatives, Bank Supervision Process in India, Supervisory Approach, Features of an Effective bank Supervisory Framework, Benefits of Risk Based Supervision, Supervisory Methods/Tools

10. Risk Based Internal Audit

What is Risk Based Auditing, Objective of Risk Based Internal Audit, Board and Management Oversight, Audit Policy, Functional Independence, Identification of Auditable Units, Conduct Risk Assessment, Risk Profile, Communication

Module F: Derivatives & Risk Management

1. Derivatives and Risk Management

What is Derivative?, Features of Derivatives, Over the Counter vs Exchange Traded Derivative, Uses of Derivatives, Misuse of Derivative, Major Types of Derivatives, Long and Short Position, Derivative Markets in India

2. Forward Contract

Definition and Characteristics, Advantage of Entering Forward Contract, Problems Associated with Forward Contract, Pay-off on a Forward Contract, Pricing the Underlying, Benefits and Costs of HoldingAssets, The Concept of Price and Value of a Forward Contract, Forward Rate Agreement

3. Futures

What is a Futures Contract?, Futures Contract vs Forward Contract, Performance of contract, The Clearing House, Margin A/c, Relationship between Spot Price and Future Price, Delivery, Cash Settlement, Pricing of Future Contracts, Contango vs Normal Backwardation, Interest Rate Future

4. Options

Definition, Option Terminology, Call Option, Put Option, Pricing of Option, Interest Rate Options

5. SWAP

Definition, Characteristics of SWAP, SWAP Terminology, Types of SWAP, Interest Rate Swap, Calculating Interest Rate Swap Cash Flows, Uses of Interest Rate Swap, Swaptions

6. APPENDIX: Statistical Concepts 

• Statistical Measures

Frequency Distribution, Measures of Central Tendency, Measures of Dispersion, Measures of Skewness, Measures of Kurtosis, Measures of Correlation, Measures of Regression, Expected Return, Average of Ratios, Risk, Average Growth Rate, Portfolio Diversification, Beta, Performance Evaluation

• Probability Theory

Probability, Conditional Probability, Random Variable, Distribution Function, Expectation and Standard De- viation, Binomial Distribution, Poisson Distribution, Normal Distribution, Credit Risk, Value at Risk (VaR), Option Valuation

CAIIB Central Banking Syllabus (Elective)

Here is the Central Banking syllabus:

Central Banking Syllabus
Module	Topic	Sub-Topics
Module A	Rationale & Functions of Central Bank	1. Theory and Practice of Central Banking: Evolution 2. Functions of Central Banks 3. Contemporary Issues in Central Banking
Module B	Central Banking in India	1. Reserve Bank of India 2. Financial Inclusion and Development
Module C	Monetary & Credit Policies	1. Monetary Policy 4. Credit Policy 3. Fiscal-Monetary Relations 4. Liquidity Management in the System
Module D	Management of Foreign Exchange Reserves & Constituents of Indian Financial Market	1. Management of Foreign Exchange Reserves 2. Constituents of Indian Financial System Structure
Module E	Regulation, Supervision, and Financial Stability	1. Evolution of Regulation and Supervision 2. Development, Regulation and Supervision and Recent Performance of Scheduled Commercial Banks 3. Development, Regulation, and Supervision of Co-Operative Banks 4. Financial Stability
Module F	Non-Banking Financial Companies & Primary Dealers	1. Non-Banking Financial Institutions: Development, Regulation and Supervision 2. Role of Primary Dealers in the Government Securities Market: Development, Regulation and Supervision 3. APPENDIX

Below, we have explained the CAIIB Central Banking detailed syllabus.

Module A: Rationale & Functions of Central Bank

1. Theory and Practice of Central Banking: Evolution

Global Evolution of Central Banks; Reasons for Proliferation of Central Banks; Conflicting Role and Responsibilities of Central Banks; Development of Central Banks in Developed and Developing Countries

2. Functions of Central Banks

Banker to Government; Banker to Banks; Lender-of-Last-Resort; Monetary Policy Functions; Currency Issue and Management; Payment and Settlement Systems; Maintaining Internal Value of Money; Maintenance of the External Value of Currency; Regulation, Facilitation and Supervision of Financial System; Financial Stability; Promotional Functions to Support Growth and Other National Objectives; Development of Financial Markets and Institutions; Central Bank Communication Policies

3. Contemporary Issues in Central Banking

Autonomy and Independence of a Central Bank; Credibility of a Central Bank; Accountability of a Central Bank; Transparency in Central Bank Operations; Conflict with Fiscal Policies

Module B: Central Banking in India

1. Reserve Bank of India

Reserve Bank of India: Organizational Evolution; Reserve Bank of India: Structure and Governance; Reserve Bank of India: Major Organizational and Functional Developments Over Time; RBI Act 1934: Salient Features and Some Comments Central Banking: Indian Specific Issues Banking Regulation Act; Foreign Exchange Management Act (FEMA); The Banking Ombudsman Scheme, 2006; Financial Sector Reforms; Other Financial Regulators and Division of Functions; Institutions Set up by RBI

2. Financial Inclusion and Development

Impediments in the process of achieving financial inclusion; Role of policy interventions: Mandates and Subventions; On building an appropriate institutional and financial structure based on digital technology; Focus on payment and settlement systems vs Focus on extension of credit; Some Issues and their possible resolution; Financial Inclusion; Financial Inclusion Plans

Module C: Monetary & Credit Policies

1. Monetary Policy

Monetary Policy: Theoretical Underpinnings; Objectives of Monetary Policy; Reconciling Dual Objectives; Monetary Policy Rules; The Vexed Issue: Rules vs Discretion; Indicators of Policy; Instruments of Policy; Statutory Liquidity Ratio (SLR); Selective Credit Controls; Policy Transmissions Mechanisms and Channels; Transmission Channels; An Evaluation of the Transmission Channels; Transparency of Policies; Lags in Policy; Process of Monetary Policy Formulation in India; Conduct of Monetary Policy in the Wake of Net Large Capital Inflows during the 2000s; Recent Initiatives for Further Strengthening Monetary Policy Formulation

2. Credit Policy

Theoretical Underpinnings; Credit Policy in Practice; Nominal versus Real Credit; Credit Allocation Mechanisms; Instruments of Credit Control; Margin Requirements; Rationing of Credit (Credit Ceiling); Credit Pricing (Setting Bank’s Lending Rates)

3. Fiscal-Monetary Relations

Monetary-Fiscal Relations: India; Striking Balance between Inflation and Growth: Recent Initiatives; Finances of Central and State Governments: Recent Trends; Central Government Finances in 2020-21; Central Government Finances in 2021-22; State Finances in 2021-22; Constitution of Finance Commission; Recommendations of the Fifteenth Finance Commission; Grants-In-Aid; Fiscal Roadmap/Rules; Fiscal Road Map Recommended by the 15th Finance Commission

4. Liquidity Management in the System

Theoretical Framework underlying LAF; Genesis and Evolution of Liquidity Adjustment Facility; Review of LAF based on the Report of the Expert Committee to Revise and Strengthen Monetary Policy Framework ; Revised Framework of LAF based on the recommendations of IWG; Operational Strategies in Managing LAF; Underlying Instruments for the conduct of LAF; Guiding Principles for the conduct of LAF; Structuring of Open Market Operations ; Other salient features of the Revised LAF; Liquidity Management during Covid-19: Initiatives undertaken by Reserve Bank of India; Money Markets: Liquidity conditions; Government Securities Market and the Risk-Free Curve; Corporate Bond Market: Liquidity Conditions; Equity Markets: Liquidity Conditions; Severity of the Pandemic and the RBI initiatives; Recent measures announced by RBI on 08 April, 2022 as part of Monetary Policy

Module D: Management of Foreign Exchange Reserves & Constituents of Indian Financial Market

1. Management of Foreign Exchange Reserves

Legal Framework; Risk Management; Operational Risk and Control System; Transparency and Disclosures; Recent Developments in the Movement of Foreign Exchange Reserves; Sources of Accretion to Foreign Exchange Reserves; Adequacy of Reserves; Management of Gold Reserves; Investment Pattern of the Foreign Currency Assets (FCA); Other Related Aspects

2. Constituents of Indian Financial System Structure

Genesis of Financial Market Development; Structure and Growth of Financial Markets in India; Money Market; Government Securities Market; Foreign Exchange Market; Reform/Post-Reform Period (1990s to 2010); Foreign Exchange Markets: Post Reform Period; Financial Benchmarks – Transparency & Governance Framework; Roadmap for LIBOR Transition

Module E: Regulation, Supervision, and Financial Stability

1. Evolution of Regulation and Supervision

Genesis and Evolution of Regulation and Supervision: Some Theoretical Underpinnings; Global Backdrop; Interactions of Monetary Policy and Regulatory and Supervisory Policies; Integration Vs Separation of Monetary, Regulatory and Supervisory Functions – Recent Perspectives; Genesis of Bank Regulation and Supervision in India; Conduct of Monetary Policy and Compatibility with Regulatory and Supervisory Role: The Indian Perspective

2. Development, Regulation and Supervision and Recent Performance of Scheduled Commercial Banks

Evolution and Development of Commercial Banks Initial Years (1950 to 1969); Strengthening and Consolidation of Commercial Banks (1969-1991); Rapid Strides in the Development the Banking Sector following the Financial Reforms Process Ushered in the 1990’s; Prudential Requirements for bank supervision; Submission of Returns on Liquidity Risk, Interest Rate Risk, and Currency Risk; Risk Management in Banks; Regulatory Policies for Scheduled Commercial Banks; Supervision of Scheduled Commercial Banks; Recent Operations and Performance of Scheduled Commercial Banks; Developments in the Banking Sector 2021 in Brief

3. Development, Regulation and Supervision of Co-Operative Banks

Growth of Cooperative Banking System; Regulatory Framework for Co-operatives: Duality of Control; Strengthening of the Financial Position of the UCBs; Strengthening of the Supervisory System Related to UCBs; Cooperative Banks: Recent Developments; Implementation Status of Goals; Strengthening Regulatory Framework; Major Developments;

4. Financial Stability

Global Economic Crisis and its implications for Central Banks, Financial Stability: An Overview, Risks to Financial Stability, Early Warning Signals and Remedial action, Liquidity Management in Banks, The Basel Norms for Bank supervision, Progress in the implementation of Basel II Norms, Progress in the implementation of Basel III Norms, RBI Perspective on moving towards Basel III Implementation, Effect of Liberalization and Globalization on Financial Stability, Conduct of monetary policy in the context of Liberalisation and Globalization, Growing trend towards transparency, co-operation and best practices in a globalized environment, Role of consultative approach, Linkage to International Financial Stability, International Standards and Codes, Role of Supervisor under Basel II and Basel III

Module F: Non-Banking Financial Companies & Primary Dealers

1. Non-Banking Financial Institutions: Development, Regulation and Supervision

Conditions for Companies to Register as NBFCs with the Reserve Bank of India; NBFCs Registered with Other Regulatory Bodies; Classification of NBFCs under Broad Categories; Growth of NBFC Sector and the Need for Prudence; The Role of the Reserve Bank of India in the Development of NBFCs; Regulatory Policies for NBFCs: Scale-Based Regulatory Framework; Special Liquidity Scheme (SLS) for Non-Bank Financial Companies (NBFCs) / Housing Finance Companies (HFCs); Aligning Regulatory Framework for HFCs with NBFCs; Lowering of Secured Debt Limit for NBFCs under SARFAESI Act; Declaration of Dividend by NBFCs; Supervisory Policies for NBFCs; Appointment of Auditors in Regulated Entities; Prompt Corrective Action (PCA) Framework for NBFCs; Impact of Pandemic on NBFC Sector

2. Role of Primary Dealers in the Government Securities Market: Development, Regulation and Supervision

Evolution of PDs; Eligibility Conditions for PDs; Role and Responsibilities of PDs; Liquidity Support from RBI; Operations and Performance of PDs; Financial Performance of SPDs; Operational Guidelines, Regulatory and Supervisory Provisions Governing Primary Dealers; Investment Guidelines; Capital Adequacy and Risk Management

3. APPENDIX

Important Committees Set up by RBI, MajorInternational Financial Institutions: Genesis, Objectives and Functions, A Note on Crypto Currencies & CBDC (Central Bank Digital Currency), RBI Discussion Paper / Report on Sustainable Finance, Glossary of Central Banking Terms

After getting familiar with the CAIIB syllabus, it’s time to understand the most important topics for each subject.

CAIIB Exam – Most Important Topics

Here are the subject-wise most important topics of the CAIIB exam:

CAIIB Advanced Bank Management (ABM): Most Important Topics

We have analysed the topic-wise yearly trend of the number of questions asked from each topic of Advanced Bank Management to identify the most important topics. Here are the most important topics for CAIIB ABM.

Module A: Statistics

Module A: Statistics
SNo.	Chapters	Important Topics
1	Introduction to Statistics	Collection of data  Frequency Distribution
2	Sampling Techniques	Types of Sampling  Concept of Standard Error  Central Limit Theorem
3	Measures of Central Tendency	Mean – Arithmetic, Geometric, Harmonic  Median & Quartiles  Dispersion; Skewness & Kurtosis
4	Correlation & Regression	Correlation & Regression  Standard Error
5	Time Series	Variations – Cyclical, Seasonal, irregular  Trend Analysis & Forecasting
6	Theory of Probability	Types of events  Binomial Distribution  Standard Deviation of Random Variable
7	Estimation	Estimates – Interval & Point  Confidence Intervals  Proportion from Large Samples
8	Linear Programming	Graphic & Simplex method
9	Simulation	Simulation Exercise & methodology

Module B: Human Resource Management 

Module B: Human Resource Management
SNo.	Chapters	Important Topics
1	Fundamentals of HRM	Relationship b/w HRM and HRD  Strategic HRM & Role of HR Manager
2	Development of HRM	Job analysis (JD, JS and JE)  Training (SAT), Attitude (functions)  Career Planning, Talent Mgt, Succession  Self-Development (Motivation, locus of control, power base, transactional analysis)
3	Human Implications of Organizations	Behavioural Theories (Psychoanalytical, Self-concept, Left/Right Brain)  Motivation Theories (Talor, Mayo, Maslow, Herzberg, Vroom, Adams, Skinner)  Diversity & Gender issues
4	Employees’ Feedback and Reward system	Compensation theories  Job evaluation techniques
5	Performance Management	Appraisal Methods (MBO, 360 degree)  Competency Mapping, Assessment centers
6	Conflict Management and Negotiation	Meaning, Types & Reasons for Conflict  Conflict Management (process, skills)
7	HRM and Information Technology	HRIS – HR Information System  HRMS – HR Management System  E-HRM, HR analytics

Module C: Credit Management

Module C: Credit Management
SNo.	Chapters	Important Topics
1	Overview of Credit Management	Components of Credit Management  Role of RBI Guidelines (PSL targets, exposure norms, MSME guidelines, etc.)  Asset classification & provisioning norms
2	Analysis of Financial Statements	Components & users of information  Key items of format (Companies Act ’13)  Techniques – Fund flow, ratios, trends
3	Working Capital Finance	RBI guidelines on rediscounting, TReDS  Commercial Paper, Factoring, Forfaiting
4	Term Loans	Deferred payment Guarantee  Project Appraisal (including infrastructure – types, prudential requirements)
5	Credit Delivery	Third Party Guarantees, Security Posession  Consortium lending and Syndication
6	Credit Control	Tools of Credit Control and Monitoring
7	Risk Management & Credit Rating	Internal & External Ratings  Use of Credit Derivatives & Concerns  RBI guidelines on credit risk management
8	Restructuring/Rehabilitation and Recovery	Stressed Assets, NPAs, Willful default  Options available to banks (Restructuring, DRTs, SARFAESI Act, Write Off, etc.)  RBI Guidelines & Frameworks
9	Resolution of Stressed Assets under IBC	Applicability, Legal Elements  Corporate Insolvency Resolution Process

Module D: Compliance in Banks and Corporate Governance

Module D: Compliance in Banks and Corporate Governance
SNo.	Chapters	Important Topics
1	Compliance function	Principles, Process & Procedures  Role of Chief Compliance Officer
2	Compliance Audit	Audit Committee, Head Internal Audit  Reporting framework and Disclosure Requirements
3	Compliance governance Structure	Org. Structure- COO, BOD, Audit Committee  Compliance Structure – Corporate, Field  Internal Control
4	Identification of Compliance Issues	Compliance Issues & Compliance Risk  Loan Review Mechanism (Credit Audit)
5	Compliance Culture & GRC Framework	GRC Framework  Whistleblower policy
6	Compliance Function and Role of CCO in NBFCs	SBR (Scale Based Regulation) of NBFCs  Compliance function in NBFC – UL, ML
7	Fraud and Vigilance in Banks	Definition – Fraud, Forgery  Various types of present-day frauds  RBI Guidelines- fraud reporting & vigilance

CAIIB Bank Financial Management (BFM): Most Important Topics

We have analysed the topic-wise yearly trend of the number of questions asked from each topic of Bank Financial Management to identify the most important topics. Here are the most important topics for CAIIB BFM.

Module A: International Banking

Module A: International Banking
SNo.	Chapters	Important Topics
1	Exchange Rates and Forex Business	Characteristics of Forex markets  RBI/FEDAI Guidelines  Foreign Exchange Arithmetic
2	Liberalised Remittance Scheme (LRS) and Other Remittance Facilities for Residents	Key sections under FEMA vis-à-vis Liberalised Remittance Scheme (LRS)  Capital Account Transactions
3	Correspondent Banking and NRI Accounts	Electronics modes of Transmission  NRI Accounts
4	Documentary Letters of Credit (LC)	Definition of LC  Parties involved in LC and their role  Uniform Customs and Practice for Documentary Credits
5	Facilities for Exporters and Importers	Export data Processing and Monitoring System (EDPMS)  Exchange and Trade Control Guidelines for Exporters & Importers  Trade Credit
6	External Commercial Borrowings and Foreign Investments in India	Concept of External Commercial Borrowings (ECBs)  Operational Guidelines
7	Risks in Foreign Trade – Role of ECGC	Types of Risks in International Trade  ECGC Ltd. – Role and Products
8	Role of EXIM Bank, Reserve Bank of India, Exchange Control in India-FEMA and FEDAI and Others	EXIM Bank – Role and functions
9	International Financial Service Centre (IFSC), GIFT City	Regulatory Framework with respect to IFSCs  Entities at GIFT City
10	Technology in International Banking	Digital Platforms in International Banking  FINTECH in International Banking

Module B: Risk Management 

Module B: Risk Management
SNo.	Chapters	Important Topics
1	Risk and Basic Risk Management Framework	Concept of Risk  Risk Management Framework
2	Risks in Banking Business	Risk Identification  Banking Risks – Definitions
3	Risk Regulations in Banking Industry	Basel III Accords
4	Market Risk	Market Risk Identification  Risk Measurement  Risk Reporting
5	Credit Risk	Measurement and management of Credit Risk Credit Risk through Loan Review Mechanism (LRM)
6	Operational Risk and Integrated Risk Management	Concepts of Operational Risk and Integrated Risk Management  Operational Risk Management
7	Liquidity Risk Management	Liquidity Risk Management – Need & Importance  Overseas Operations of the Indian banks’ Branches and Subsidiaries and Branches of Foreign Banks in India
8	Basel-III Framework on Liquidity Standards	Liquidity Coverage ratio (LCR)  Net Stable Funding ratio (NSFR)

Module C: Treasury Management 

Module C: Treasury Management
SNo.	Chapters	Important Topics
1	Introduction to Treasury Management	Treasury Management – Concept
2	Treasury Products	Products of Forex Markets and Money Markets
3	International Equity and Debt Products	Regulatory environment  GDRs & IDRs
4	Funding and Regulatory Aspects	CRR & SLR  Liquidity Adjustment Facility (LAF)
5	Treasury Risk Management	Value at Risk (VaR)  Use of Derivatives in Risk Management
6	Derivative Products	Types of derivative Products  RBI guidelines on Risk Exposure
7	Treasury and Asset-Liability Management	Meaning of Asset-Liability Management

Module D: Balance Sheet Management

Module D: Balance Sheet Management
SNo.	Chapters	Important Topics
1	Components of Assets and Liabilities in Bank’s Balance Sheet and Their Management	Components of Assets and Liabilities in Bank’s Balance Sheet  Asset Liability management as Co-ordinated Balance Sheet Management
2	Capital Adequacy-Basel Norms	Pillars of Basel Norms
3	Asset Classification and Provisioning Norms	Asset Classification and NPAs  Insolvency and Bankruptcy Code, 2016 (IBC)
4	Liquidity Management	Meaning of Liquidity Risk Management  Types of Liquidity Risks
5	Interest Rate Risk Management	Sources of Interest Rate Risks  Interest Rate Risk Measurement Techniques  RBI Guidelines on Interest rate Risk in Banking Book
6	RAROC and Profit Planning	Risk Adjusted Return on Capital (RAROC)  Risk Aggregation and Capital Allocation  NaBFID

CAIIB Advanced Business & Financial Management (ABFM): Most Important Topics

We have analyzed the topic-wise yearly trend of the number of questions asked from each topic of Advanced Business & Financial Management to identify the most important topics. Here are the most important topics for CAIIB ABFM.

Module A: The Management Process

Module A: International Banking
SNo.	Chapters	Important Topics
1	Basics of Management	Functions of Management  Management Thoughts & Approaches  Business Environment Analysis
2	Planning	Fundamentals of Planning  Plan Components
3	Organizing	Types of Organisations  Organisational Change  Conflict Dynamics
4	Staffing	Facets of Staffing  Knowledge and Learning Management  Performance Appraisal
5	Directing	Characteristics of Directing  Leadership, Motivation, Communication, Supervision
6	Controlling	Characteristics of Controlling  Relation between Planning and Control

Module B: Advanced Concepts of Financial Management

Module B: Advanced Concepts of Financial Management
SNo.	Chapters	Important Topics
1	Sources of Finance and Financial Strategies	Alternative Financing Strategies
2	Financial and Operating Leverages	Degree of Financial Leverage, Its Behaviour  Degree of Operating Leverage, Its Behaviour
3	Capital Investment Decisions	Estimation of Project Cash Flows  Social Cost Benefit Analysis
4	Capital Budgeting for International Project Investment Decisions	Foreign Investment Analysis  Approaches for Evaluation of Overseas Projects
5	Adjustment of Risk and Uncertainty in Capital Budgeting Decision	Sources & Perspectives on Risk  Sensitivity & Scenario Analysis  Risk Analysis in Practice
6	Decision Making	Decision Making using Cost-Volume-Profit (CVP) Analysis,  Decision Making using Activity Based Costing (ABC),  Ethical and Non-Financial Considerations Relevant to Decision Making

Module C: Financial Management 

Module C: Financial Management
SNo.	Chapters	Important Topics
1	Corporate Valuation	Approaches to Corporate Valuation
2	Discounted Cash Flow Valuation	Approaches to Discounted Cash Flow Models
3	Other Non-DCF Valuation Models	Equity Valuation Multiples Model  Book Value Approach Model
4	Special Cases of Valuation	Valuation of Cash and Cross Holdings, Warrants and Convertibles  Cyclical & Non-Cyclical Companies
5	Mergers, Acquisitions and Restructuring	All the topics in the chapter are very important
6	Deal Structuring and Financial Strategies	Tax and Accounting Considerations  Tax Reliefs & Benefits in Case of Amalgamation in India  Financing of Cross Border Acquisitions in India

Module D: Emerging Business Solutions

Module D: Emerging Business Solutions
SNo.	Chapters	Important Topics
1	Hybrid Finance	Advantages and Disadvantages of Hybrid Securities  Types of Hybrid Securities  Features of Convertible Debentures
2	Start-up Finance	Benefits to Startup Under the Startup Plan  Challenges Faced by Startups  State Startup Policy  Funding Schemes and Programmes, Programs Running in 2022,  International Challenges and Bridges
3	Private Equity and Venture Capital	Characteristics of Venture Capital Investments  Characteristics Shared by Private Equity and Venture Capital, as well as Their Key Distinctions  Advantages and disadvantages of Venture Capital Funding  Benefits and Drawbacks to the Practice of Private Equity  Companies in India that Deal in Private Equity  Growth of India’s Private Equity Market  Legal and Administrative Structure of India  Crucial Stages in the Process of Investing in Private Equity
4	Artificial Intelligence	Applicability of Artificial Intelligence  Artificial Intelligence in Banking and Finance  Control theory and Cybernetics  Tools & Techniques of Artificial Intelligence  Artificial Intelligence and Morality
5	Business Analytics as Management Tool	Elements of Business Analytics  Web and Mobile Analytics
6	Green and Sustainable Financing	ISO Standards for Green Finance  Progress of Green Finance in India  Growth of Regulatory Framework  National Efforts towards Green and Sustainable Financing  RBI Views on Climate Risk and Sustainable Finance
7	Special Purpose Acquisition Companies	Advantages of SPAC  Disadvantages of SPAC  Characteristics of SPACs, Process, SPAC Capital Structure, Trust Account, Warrants, Forward Purchase, IPO Agreements,  De-SPAC Process

CAIIB Banking Regulations and Business Laws (BRBL): Most Important Topics

We have analyzed the topic-wise yearly trend of the number of questions asked from each topic of Banking Regulations and Business Laws to identify the most important topics. Here are the most important topics for CAIIB BRBL.

Module A: Regulations and Compliance

Module A: Regulations and Compliance
SNo.	Chapters	Important Topics
1	Legal Framework of Regulation of Banks	Reserve Bank of India Act, 1934  Banking Regulation Act, 1949
2	Control over Organization of Banks	Licensing of Banking Companies  Paid-up Capital and Reserves  Shareholding in Banking Companies
3	Regulation of Banking Business	Regulation of Interest Rates  Regulation of Payment Systems  Banking Ombudsman
4	Returns, Inspection, Winding Up, Mergers & Acquisitions	Acquisition of Undertakings  Amalgamation of Banks  Annual Accounts and Balance Sheet  Audit and Auditors
5	Different Categories of Banks	Full Chapter
6	Regulation of Non-Banking Financial Companies (NBFCs)	Regulators of NBFCs  Prudential Guidelines  Bank Finance to NBFCs registered/not requiring registration with RBI  Co-Lending by banks and NBFCs to Priority Sector Advances (PSA)
7	Financial Sector Legislative Reforms and Financial Stability and Development Council	Narasimham Committees  Reforms in Monetary Policy  Reforms in Financial Markets  Reforms in Forex Market

Module B: Important Acts/Laws & Legal Aspects of Banking Operations – Part A

Module B: Important Acts/Laws & Legal Aspects of Banking Operations – Part A
SNo.	Chapters	Important Topics
1	The Prevention of Money Laundering Act, 2002	Offence of Money Laundering  Obligations of Banking Companies, Financial Institutions, and Intermediaries  Enhanced Due Diligence  Records to be Maintained
2	Negotiable Instruments Act, 1881	Records to be Maintained  Payment of Cheques – Protection to Bankers’/Customers’
3	Foreign Exchange Management Act, 1999	Important Terms Used in FEMA  Powers of RBI with Respect to Authorized Persons  Contravention, Penalties, Adjudication, and Appeals
4	Payment & Settlement Systems Act, 2007	Regulation and Supervision by the RBI  Settlement and Netting  Power of RBI to make regulations
5	Law Relating to Securities and Modes of Charge – I	Types of Mortgage
6	Law Relating to Securities and Modes of Charge – II	Full Chapter
7	Creation/Registration and Satisfaction of Charges	Effect of Registration of Charges  Effect of Nonregistration of Charges

Module C: Important Acts/Laws & Legal Aspects of Banking Operations – Part B

Module C: Important Acts/Laws & Legal Aspects of Banking Operations – Part B
SNo.	Chapters	Important Topics
1	Reserve Bank – Integrated Ombudsman Scheme, 2021	Procedure for Redressal of Grievance  Procedure for Filing a Complaint  Suspension of the Scheme
2	The Micro, Small and Medium Enterprises Development Act, 2006	Coverage and Definitions  Summary of Regulation  National Board for Micro, Small and Medium Enterprises (NBMSME)/
3	SARFAESI Act	Asset Reconstruction  Central Registry  Enforcement of Security Interest  Reconstruction and Security Interest Transactions  Non-Applicability of the Provisions of the SARFAESI Act in Certain Cases
4	Debt Recovery Tribunal/ The Recovery of Debts and Bankruptcy Act, 1993	Application and Definitions in Act  Application to the Tribunal, Appeal to the Appellate Tribunal  Modes of Recovery of Debts
5	Introduction to the Insolvency and Bankruptcy Code, 2016	The Insolvency Resolution Process for Companies and Limited Liability Entities,  Corporate Insolvency Resolution Process (CIRP)
6	The Bankers’ Books Evidence Act, 1891	Applicability and Definitions  Case in which Officer of Bank not Compellable to Produce Books
7	The Legal Services Authorities Act, 1987: Lok Adalats	Full Chapter
8	The Consumer Protection Act, 2019	Central Consumer Protection Authority,  District, State and National Consumer Disputes Redressal Commission
9	The Law of Limitation	Acts Giving Rise to Fresh Period of Limitation Certain Important Provisions in Schedule to the Limitation Act
10	Tax Laws	Full Chapter

Module D: Commercial & Other Laws with Reference to Banking Operations

Module D: Commercial & Other Laws with Reference to Banking Operations
SNo.	Chapters	Important Topics
1	Indian Contract Act	Key Components to Form a Contract Essentials of a Valid Contract  Contracts of Indemnity  Contracts of Guarantee  Contract of Bailment  Contract of Pledge  Contract of Agency
2	Contract of Sale	Important Terms Defined Under the Sale of Goods Act, 1930  Distinction between a Sale and an Agreement to Sell  Rights of an Unpaid Seller  Implied Conditions and Warranties
3	Partnership Firms	Essential Characteristics  Types of Partnership  Limited Liability Partnership (LLP)  Liability of the Firm for Wrongful Acts of a Partner  Liability of Firm for Misapplication by Partners  Legal position after the Minor attains majority  Retirement of a Partner  Insolvency of a Partner  Dissolution
4	Companies	Features of a Company  Classifications of Companies  Memorandum of Association and Articles of Association  Doctrine of Ultra Vires
5	Limited Liability Partnership Act, 2008	Liabilities of and changes in Designated Partners  Incorporation of a Limited Liability Partnership
6	Transfer of Property Act, 1882	Sale of Immoveable Property  Mortgage of Immoveable Property  Types of Mortgage
7	The Right to Information Act, 2005	Full Chapter
8	Right to Information and Obligations of Public Authorities	Full Chapter
9	Information Technology Act, 2000	Digital Signature Certificates  Penalties  Appeal, Investigation
10	Prevention of Corruption Act, 1988	Full Chapter

Conclusion

In this article, we have explained the CAIIB exam pattern, syllabus, and important topics for preparation. Grasping the CAIIB pattern and syllabus is a crucial step as it guides the aspirants to streamline and optimize their preparation to qualify all the CAIIB papers in one attempt.

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