X1PART THREECAPITAL REQUIREMENTS

TITLE IICAPITAL REQUIREMENTS FOR CREDIT RISK

CHAPTER 3Internal Ratings Based Approach

Section 6Requirements for the IRB approach

Sub-Section 5Internal governance and oversight

Article 191Internal Audit

Internal audit or another comparable independent auditing unit shall review at least annually the institution's rating systems and its operations, including the operations of the credit function and the estimation of PDs, LGDs, ELs and conversion factors. Areas of review shall include adherence to all applicable requirements.