The Authors That Face Various Hurdles and Overcome Them

Introduction Malcolm X, Helen Keller and David Raymond are all writers that struggled with self expression, identity and social conformity. These challenges emanated from the lack of language proficiency. However, all three authors succeeded in overcoming insurmountable challenges, and eventually cause audiences to relate to the plight of other people in similar circumstances.Advertising We will write a custom essay sample on X. Malcolm, H. Keller and D. Raymond – The Authors That Face Various Hurdles and Overcome Them specifically for you for only $16.05 $11/page Learn More How the authors are alike and different In all three short stories, the writers are struggling with some type of language-related inadequacy. Helen Keller was blind and deaf, so she could not express herself in written or spoken words. She explains that she was â€Å"at sea in a dense fog† meaning that she was trapped in a world of darkness and numbness (Keller 5). This caused her to become resentful and angry because she could not interact with the world around her. Keller was subsequently shut out from society because of these physical disabilities. Similarly, David Raymond struggled with another type of disability; which was a mental one known as Dyslexia. The condition caused him to be shunned by his playmates. His routine was never the usual one in class; for instance, he had to meet lots of psychiatrists for evaluation (Raymond 14). At some point, Raymond was even taken to a special school. He resented the bus that came to pick him up because it carried mentally retarded or severely deformed children. David did not want his neighbours to see him getting into the bus because they would judge him; all he wanted was to be like everyone else. The condition prevented him from expressing himself or performing normal classroom activities. Malcolm X, had his own type of struggle too; illiteracy. He was dealing with another type of mental darkness as well. This condition prevented him from expressing his ideas as clearly as he needed to. Having been a street hustler, he lacked the opportunities needed to acquire literacy skills. The writer was unable to communicate or interact with people properly, and this put him in a self-created prison. Despite these common struggles among the three authors, one also realises that their social and cultural circumstances had a profound effect on their perception of lack and limitation. As an African American male living in a discriminative society, Malcolm X, felt that his illiteracy contributed to the oppression of his people. His expression of these struggles was influenced by his worldview as a member of the black race. Conversely, Keller felt that her unfamiliarity with language caused her to be isolated. Her identity was defined by her physical disabilities. It is from this background, that she expresses her agonies. Raymond’s worldview was determined by his status as a dyslexic individual. Therefore, his inadequacies, identity crisis, and low self esteem all stemmed from this background. David’s style is symptomatic of this position in society.Advertising Looking for essay on american literature? Let's see if we can help you! Get your first paper with 15% OFF Learn More Keller, Raymond and Malcolm X gain a degree of self awareness when they discover the power of language. Malcolm X could never realise his goals of liberation for the black people unless he could express himself well in the English language; when he recognized this, then he became a new person. Malcolm admired his peer’s command of the language, and made the decision to change his circumstances (Malcolm 277). The life-changing moment occurred when he appreciated that there were so many words to learn from the dictionary. He even copied entire pages – word for word – in order to concretise what he was learning. Malcolm decided that the mastery of lang uage would deliver him from oppression; it would be his tool to personal empowerment and fulfilment. In this regard, the author became self aware. He realised his real potential, and gets a renewed purpose in life. The same thing happened to Keller after she discovered the power of language. When her teacher passed this strange liquid over her palm, and spelt its name on her other hand, she experienced a great awakening. She realised that she had been set free, and that all the barriers that held her hostage would soon be â€Å"swept away†. To Keller, the discovery of language signified the discovery of her ability to live a meaningful and joyous life. David Raymond also became self aware after realising that is was possible to still be intelligent or achieve great things when one was Dyslexic. He cites examples such as Einstein and Leonardo da Vinci. All three authors succeed in explaining life in the context of their experiences. Language mastery is something that many peop le take for granted because it comes naturally to them. However, Keller, Raymond and Malcolm X all have peculiar circumstances that make it quite difficult to learn how to read and write. After reading these short stories, one gets to understand the significance of words and their meanings. The narratives are important in raising awareness about racial oppression, physical and mental disabilities, and how they relate to self expression and language. Conclusion The short stories under analysis are quite similar to one another because the authors face various hurdles and overcome them; they become self aware, and teach audiences about challenges in literacy based on their circumstances. Consequently, the three narratives are important in instilling empathy among audiences concerning the experiences of others who are different.Advertising We will write a custom essay sample on X. Malcolm, H. Keller and D. Raymond – The Authors That Face Various Hurdles and Overcome Them spe cifically for you for only $16.05 $11/page Learn More Works Cited Keller, Helen. The day language came into my life. USI, 2011. Web.. Malcolm, X. â€Å"Discovering the power of language.† Language awareness: readings for college writers. Eds. Paul Eschholz, Alfred Rosa and Virginia Clark. NY: St. Martin’s Press, 2004. 271-284. Print. Raymond, David. On being seventeen, bright, and unable to read. Mrshatzi, 2011. Web. This essay on X. Malcolm, H. Keller and D. Raymond – The Authors That Face Various Hurdles and Overcome Them was written and submitted by user Giana Z. to help you with your own studies. You are free to use it for research and reference purposes in order to write your own paper; however, you must cite it accordingly. You can donate your paper here.

Jean Piaget theory on child development Essays

Jean Piaget theory on child development Essays Jean Piaget theory on child development Essay Jean Piaget theory on child development Essay Jean Piaget theory on child development Piaget was a psychologist who developed interest in children’s intellect. He worked with Alfred Binet and later came up with a theory on cognitive development of children. This theory explains cognitive child development. This type of development entails changes in cognition processes and capabilities. According to this theorist’s view, early development in cognition includes processes founded on actions. Later on, it advances to changes in mental activities. Piaget states that adults are not intelligent than children. The difference is children have a different way of thinking. This observation amazed Albert Einstein because people would not see its simplicity. Piaget came up with some concepts of this theory. Some of them are schemas, which is the description of mental and physical activities included in knowledge and understanding. The schema contains knowledge and its method of acquisition. When children encounter experiences, the new knowledge is added, or schemas change. For instance, if a child only sees a kitten he or she will tend to think all cats resemble that kitten. After he or she sees a cat, her perception will change.

Basel Norms in India

B. C. D. E. F. G. Background Functions of Basel Committee The Evolution to Basel II – First Basel Accord Capital Requirements and Capital Calculation under Basel I Criticisms of Basel I New Approach to Risk Based Capital Structure of Basel II First Pillar : Minimum Capital Requirement Types of Risks under Pillar I The Second Pillar : Supervisory Review Process The Third Pillar : Market Discipline 3 3 3 3 3 4 4 II. The Three Pillar Approach A. B. C. D. 5 5 6 6 7 7 7 III. Capital Arbitrage and Core Effect of Basel II A. Capital Arbitrage B. Bank Loan Rating under Basel II Capital Adequacy Framework C. Effect of Basel II on Bank Loan Rating IV. Basel II in India A. Implementation C. Impact on Indian Banks D. Impact on Various Elements of Investment Portfolio of Banks E. Impact on Bad Debts and NPA’s of Indian Banks D. Government Policy on Foreign Investment E. Threat of Foreign Takeover 8 8 9 10 10 10 V. Conclusion A. SWOT Analysis of Basel II in Indian Banking Context B. Challenges going ahead under Basel II 11 11 13 13 VI. VII. References The Technical Paper Presentation Team 2 I. Introduction: A. Background Basel II is a new capital adequacy framework applicable to Scheduled Commercial Banks in India as mandated by the Reserve Bank of India (RBI). The Basel II guidelines were issued by the Basel Committee on Banking Supervision that was initially published in June 2004. The Accord has been accepted by over 100 countries including India. In April 2007, RBI published the final guidelines for Banks operating in India. Basel II aims to create international standards that deals with Capital Measurement and Capital Standards for Banks which banking regulators can use when creating regulations about how much banks need to put aside to guard against the types of financial and operational risks banks face. The Basel Committee on Banking Supervision was constituted by the Central Bank Governors of the G-10 countries in 1974 consisting of members from Australia, Brazil, Canada, United States, United Kingdom, Spain, India, Japan, etc to name a few. The ommittee regularly meets four times a year at the Bank for International Settlements (BIS) in Basel, Switzerland where its 10 member Secretariat is located. B. Functions of the Basel Committee The purpose of the committee is to encourage the convergence toward common approaches and standards. However, the Basel Committee is not a classical multilateral organisation like World Trade Organisation. It has no founding treaty and it does not issue binding regulat ions. It is rather an informal forum to find policy solutions and promulgate standards. C. The Evolution to Basel II – First Basel Accord The First Basel Accord (Basel I) was completed in 1988. The main features of Basel I were: †¢ †¢ †¢ Set minimum capital standards for banks Standards focused on credit risk, the main risk incurred by banks Became effective end-year 1992 The First Basel Accord aimed at creating a level playing field for internationally active banks. Hence, banks from different countries competing for the same loans would have to set aside roughly the same amount of capital on the loans. D. Capital Requirements and Capital Calculation under Basel – I Minimum Capital Adequacy ratio was set at 8% and was adjusted by a loan’s credit risk weight. Credit risk was divided into 5 categories viz. 0%, 10%, 20%, 50% and 100%. Commercial loans, for example, were assigned to the 100% risk weight category. To calculate required capital, a bank would multiply the assets in each risk category by the category’s risk weight and then multiply the result by 8%. Thus, a Rs 100 commercial loan would be multiplied by 100% and then by 8%, resulting in a capital requirement of Rs8. E. Criticisms of Basel – I Following are the criticisms of the First Basel Accord (Basel I):†¢ †¢ It took too simplistic an approach to setting credit risk weights and for ignoring other types of risk. Risks weights were based on what the parties to the Accord negotiated rather than on the actual risk of each asset. Risk weights did not flow from any particular insolvency probability standard, and were for the most part, arbitrary. 3 †¢ †¢ †¢ The requirements did not account for the operational and other forms of risk that may also be important. Except for trading account activities, the capital standards did not account for hedging, diversification, and differences in risk management techniques. Advances in technology and finance allowed banks to develop their own capital allocation models in the 1990’s. This resulted in more accurate calculation of bank capital than possible under Basel I. These models allowed banks to align the amount of risk they undertook on a loan with the overall goals of the bank. Internal models allow banks to more finely differentiate risks of individual loans than is possible under Basel – I. It facilitates risks to be differentiated within loan categories and between loan categories and also allows the application of a capital charge to each loan, rather than each category of loan. F. New Approach to Risk-Based Capital †¢ †¢ †¢ By the late 1990’s, growth in the use of regulatory capital arbitrage led the Basel Committee to begin work on a new capital regime (Basel II) Effort focused on using banks’ internal rating models and internal risk models June 1999: The Basel Committee issued a proposal for a new capital adequacy framework to replace Basel – I. In order to overcome the criticisms of Basel – I and for adoption of the new approach to riskbased capital, Basel II guidelines were introduced. G. Structure of Basel – II Basel – II adopts a three pillar approach: †¢ †¢ †¢ Pillar I – Minimum Capital Requirement (Addressing Credit Risk, Operational Risk Market Risk) Pillar II – Supervisory Review (Provides Framework for Systematic Risk, Liquidity Risk Legal Risk) Pillar III – Market Discipline Disclosure (To promote greater stability in the financial system) II. The Three Pillar Approach The first pillar establishes a way to quantify the minimum capital requirements. The main objective of Pillar I is to align capital the adequacy ratios to the risk sensitivity of the assets affording a greater flexibility in the computation of banks’ individual risk. Capital Adequacy Ratio is defined as the amount of regulatory capital to be maintained by a bank to account for various risks inbuilt in the banking system. The focus of Capital Adequacy Ratio under Basel I norms was on credit risk and was calculated as follows: Capital Adequacy Ratio = Tier I Capital+Tier II Capital Risk Weighted Assets Basel Committee has revised the guidelines in the year June 2001 known as Basel II Norms. Capital Adequacy Ratio in New Accord of Basel II: Capital Adequacy Ratio = Total Capital (Tier I Capital+Tier II Capital) Market Risk(RWA) + Credit Risk(RWA) + Operation Risk(RWA) *RWA = Risk Weighted Assets Calculation of Capital Adequacy Ratio: Total Capital: Total Capital constitutes of Tier I Capital and Tier II Capital less shareholding in other banks. Tier I Capital = Ordinary Capital + Retained Earnings Share Premium – Intangible assets. Tier II Capital = Undisclosed Reserves + General Bad Debt Provision+ Revaluation Reserve+ Subordinate debt+ Redeemable Preference shares Tier III Capital: Tier III Capital includes subordinate debt with a maturity of at least 2 years. This is addition or substitution to the Tier II Capital to cover market risk alone. Tier III Capital should not cover more than 250% of Tier I capital allocated to market risk. A. First Pillar : Minimum Capital Requirement B. Types of Risks under Pillar I . Credit Risk Credit risk is the risk of loss due to a debtor’s non-payment of a loan or other line of credit (either the principal or interest (coupon) or both). Basel II envisages two different ways of measuring credit risk which are standarised approach, Internal Rating-Based Approach. The Standardised Approach The standardized approach is conceptually the same as the present Accord, but is more ri sk sensitive. Under this approach the banks are required to use ratings from External Credit Rating Agencies to quantify required capital for credit risk. The Internal Ratings Based Approach (IRB) Under the IRB approach, different methods will be provided for different types of loan exposures. Basically there are two methods for risk measurement which are Foundation IRB and Advanced IRB. The framework allows for both a foundation method in which a bank estimate the probability of default associated with each borrower, and the supervisors will 5 supply the other inputs and an advanced IRB approach, in which a bank will be permitted to supply other necessary inputs as well. Under both the foundation and advanced IRB approaches, the range of risk weights will be far more diverse than those in the standardized approach, resulting in greater risk sensitivity. 2. Operational Risk An operational risk is a risk arising from execution of a company’s business functions. As such, it is a very broad concept including e. g. fraud risk, legal risk, physical or environmental risks, etc. Basel II defines operational risk as the risk of loss resulting from inadequate or failed internal processes, people and systems, or from external events. Although the risks apply to any organization in business, this particular risk is of particular relevance to the banking regime where regulators are responsible for establishing safeguards to protect against systematic failure of the banking system and the economy. Banks will be able to choose between three ways of calculating the capital charge for operational risk – the Basic Indicator Approach, the Standardized Approach and the advanced measurement Approaches. 3. Market Risk Market risk is the risk that the value of a portfolio, either an nvestment portfolio or a trading portfolio, will decrease due to the change in value of the market risk factors. The four standard market risk factors are stock prices, interest rates, foreign exchange rates, and commodity prices. The preferred approach is VAR(value at risk). C. The Second Pillar : Supervisory Review Process Supervisory review process has been introduced to ensure not only that banks have adequate capital to support all th e risks, but also to encourage them to develop and use better risk management techniques in monitoring and managing their risks. The process has four key principles – a) Banks should have a process for assessing their overall capital adequacy in relation to their risk profile and a strategy for monitoring their capital levels. b) Supervisors should review and evaluate bank’s internal capital adequacy assessment and strategies, as well as their ability to monitor and ensure their compliance with regulatory capital ratios. c) Supervisors should expect banks to operate above the minimum regulatory capital ratios and should have the ability to require banks to hold capital in excess of the minimum. ) Supervisors should seek to intervene at an early stage to prevent capital from falling below minimum level and should require rapid remedial action if capital is not mentioned or restored. D. The Third Pillar : Market Discipline Market discipline imposes strong incentives to banks to conduct their business in a safe, sound and effective manner. It is proposed to be effected through a series of disclosure requirements on capital, risk exposure etc. so that market participants can assess a bank’s capital adequacy. These disclosures should be made at least semiannually and more frequently if appropriate. Qualitative disclosures such as risk management objectives and policies, definitions etc. may be published annually. 6 III. Capital Arbitrage and Core Effect of Basel II Regulatory arbitrage is where a regulated institution takes advantage of the difference between its real (or economic) risk and the regulatory position. Securitization is the main means used by Banks to engage in Regulatory Capital Arbitrage. Example of Capital Arbitrage is given below: A. Capital Arbitrage †¢ Assume a bank has a portfolio of commercial loans with the following ratings and internally generated capital requirements – AA-A: 3%-4% capital needed – B+-B: 8% capital needed – B- and below: 12%-16% capital needed Under Basel I, the bank has to hold 8% risk-based capital against all of these loans To ensure the profitability of the better quality loans, the bank engages in capital arbitrage, it securitizes the loans so that they are reclassified into a lower regulatory risk category with a lower capital charge Lower quality loans with higher internal capital charges are kept on the bank’s books because they require less risk-based capital than the bank’s internal model indicates. †¢ †¢ †¢ B. Bank Loan Rating under Basel – II Capital Adequacy Framework †¢ On April 27, 2007, the Reserve Bank of India released the final guidelines for implementation of the New Capital Adequacy Framework (Basel II) applicable to the Banking system of the country The new framework mandates that the amount of capital provided by a bank against any loan and facility will be based on the credit rating assigned to the loan issue by an external rating agency. This means that a loan and a facility with a higher credit rating will attract a lower risk weight than one with a lower credit rating. †¢ †¢ Illustration of capital-saving potential by banks on a loan of Rs 1000 million Rating Basel I Basel II Capital Saved (Rs Long Short Risk Capital Risk Capital Million) Term Term Weight Required* Weight Required Rating Rating (Rs Million) (Rs Million) AAA P1+ 100% 90 20% 18 72 AA P1 100% 90 30% 27 63 A P2 100% 90 50% 45 45 BBB P3 100% 90 100% 90 0 BB P4 P5 100% 90 150% 135 (45) below Unrated Unrated 100% 90 100% 90 0 *Capital required is computed as Loan Amount ? Risk Weight ? 9% C. Effect of Basel – II on Bank Loan Rating †¢ †¢ Banks would either prefer that the Borrower should get itself rated, or, It would prefer that the borrowing institution should pay a higher rate of interest to compensate for the loss. 7 To substantiate the above fact, following example is taken in respect of a strong company: Loan of Rating AAA is taken of Rs 100 Crores @ 12% interest rate Capital Adequacy Rating Risk % Capital Required Opportunity Ratio (Rs Crores) Interest lost by the Bank (Rs Crores) C. A. R. Unrated 100% 9. 00 1. 08 C. A. R. New 20% 1. 80 0. 22 Total Opportunity Interest lost by the Bank (Rs Crores) 0. 86 Hence, Banks would resort to the above-mentioned measures in order to reduce or curb this loss on opportunity interest. Worse affected by this action taken by Banks would be the weaker companies. They would either be charged a higher rate of interest on loans to compensate for the loss or would alternatively have to approach another bank charging a lower rate of interest. The ideal solution to this problem would be that a weaker company should get itself rated and also take steps in order to have a better credit rating. Credit Rating is an evaluation of credit worthiness of a person, company or instrument. Thus, it indicates their willingness to pay for the obligation and the net worth. IV. Basel II in India A. Implementation The deadline for implementing the base approach of Basel II norms in India, was originally set for March 31, 2007. Later the RBI extended the deadline for Foreign banks in India and Indian banks operating abroad to meet those norms by March 31, 2008, while all other scheduled commercial banks were to adhere to the guidelines by March 31, 2009. Later the RBI confirmed that all commercial banks were Basel II compliant by March 31, 2009. Keeping in view the likely lead time that may be needed by the banks for creating the requisite technological and the risk management infrastructure, including the required databases, the MIS and the skill up-gradation, etc. , RBI has proposed the implementation of the advanced approaches under Basel II in a phased manner starting from April 1, 2010 B. Impact on Indian Banks Basel II allows national regulators to specify risk weights different from the internationally recommended ones for retail exposures. The RBI had, therefore, announced an indicative set of weights for domestic corporate long-term loans and 8 bonds subject to different ratings by international rating agencies such as Moody’s Investor Services which are slightly different from that specified by the Basel Committee (Table 1). C. Impact on various elements of the investment portfolio of banks The bonds and debentures portfolio of the banks consist of investments into higher rated companies, hence the corporate assets measured using the standardised approach may be exposed to slightly lower risk weights in comparison with the 100 per cent risk weights assigned under Basel I. The Indian banks have a large short-term portfolio in the form of cash credit, overdraft and working capital demand loans, which were un-rated, and carried a risk weight of 100 per cent under the Basel I regime. They also have short-term investments in commercial papers in their investment portfolio, which also carried a 100 per cent risk weight. The RBI’s capital adequacy guidelines has prescribed lower risk weights for short-tem exposures, if these are rated (Table 2). This provides the banks with an opportunity to benefit from their investments in commercial paper (which are typically rated in A1+/A1 category) and give them the potential to exploit the proposed short-term credit risk weights by obtaining short-term ratings for exposures in the form of cash credit, overdraft and working capital loans. The net result is that the implementation of Basel II provided Indian banks with the opportunity to significantly reduce their credit risk weights and reduce their required regulatory capital, if they suitably adjust their portfolio by lending to rated but strong corporate and increase their retail lending. According to some reports, most of the Indian banks who have migrated to Basel II have reported a reduction in their total Capital Adequacy Ratios (CARs). However, a few banks, those with high exposures to higher rated corporate or to the regulatory retail portfolio, have reported increased CARs. However, a recent study by New Delhi-based industry lobby group Assocham has concluded that Capital Adequacy Ratio (CAR) of a group of commercial banks, which were part of the study improved to 13. 48% in 2008-09 from 12. 35% in 2007-08, due to lower risk weights, implementation of Basel II norms and slower credit growth. 9 D. Bad debts and requirement of additional capital In this context, the situation regarding bad debts and NPA’s is very pertinent. The proportion of total NPAs to total advances declined from 23. 2 per cent in March 1993 to 7. per cent in March, 2004. The improvement in terms of NPAs has been largely the result of provisioning or infusion of capital. This meant that if the banks required more capital, as they would to implement Basel II norms, they would have to find capital outside of their own or the governmentâ₠¬â„¢s resources. ICRA has estimated that, Indian banks would need additional capital of up to Rs. 12,000 crore to meet the capital charge requirement for operational risk under Basel II. Most of this capital would be required by PSBs Rs. 9,000 crore, followed by the new generation private sector banks Rs. 1,100 crore, and the old generation private sector bank Rs. 750 crore. In practice, to deal with this, a large number of banks have been forced to turn to the capital market to meet their additional regulatory capital requirements. ICICI Bank, for example, has raised around Rs. 3,500 crore, thus improving its Tier I capital significantly. Many of the PSBs, namely, Punjab National Bank, Bank of India, Bank of Baroda and Dena Bank, besides private sector banks such as UTI Bank have either already tapped the market or have announced plans to raise equity capital in order to boost their Tier I capital. E. Government Policy on foreign investment The need to go public and raise capital challenged the government policy aimed at restricting concentration of share ownership, maintaining public dominance and limiting foreign influence in the banking sector. One immediate fallout was that PSBs being permitted to dilute the government’s stake to 51 per cent, and the pressure to reduce this to 33 per cent increased. Secondly, the government allowed private banks to expand equity by accessing capital from foreign investors. This put pressure on the RBI to rethink its policy on the ownership structure of domestic banks. In the past the RBI has emphasised the risks of concentrated foreign ownership of banking assets in India. Subsequent to a notification issued by the Government, which had raised the FDI limit in private sector banks to 74 per cent under the automatic route, a comprehensive set of policy guidelines on ownership of private banks was issued by the RBI. These guidelines stated, among other things, that no single entity or group of related entities would be allowed to hold shares or exercise control, directly or indirectly, in any private sector bank in excess of 10 per cent of its paid-up capital. F. Threat of foreign takeover There has been growing pressure to consolidate domestic banks to make them capable of facing international competition. Indian banks are pigmies compared with the global majors. India’s biggest bank, the State Bank of India, which accounts for onefifth of the total banking assets in the country, is roughly one-fifth as large as the world’s biggest bank Citigroup. Given this difference, even after consolidation of 10 omestic banks, the threat of foreign takeover remains if FDI policy with respect to the banking sector is relaxed. Not surprisingly, a number of foreign banks have already evinced an interest in acquiring a stake in Indian banks. Thus, it appears that foreign bank presence and consoli dation of banking are inevitable post Basel II. V. Conclusion A. SWOT Analysis of Basel II in Indian Banking Context Strenghts †¢ †¢ Aggression towards development of the existing standards by banks. Strong regulatory impact by central bank to all the banks for implementation. Presence of intellectual capital to face the change in implementation with good quality. †¢ †¢ †¢ Weaknesses Poor Technology Infrastructure Ineffective Risk Measures Presence of more number of Smaller banks that would likely to be impacted adversely. †¢ Opportunities †¢ †¢ Increasing Risk Management Expertise. Need significant connection among business,credit and risk management and Information Technology. Advancement of Technologies. Strong Asset Base would help in bigger growth. †¢ †¢ Threats Inability to meet the additional Capital Requirements Loss of Capital to the entire banking system, due to Mergers and acquisitions. Huge Investments in technologies †¢ †¢ †¢ B. Challenges going ahead under Basel II †¢ The new norms will almost invariably increase capital requirement in all banks across the board. Although capital requirement for credit risk may go down due to adoption of more risk sensitive models – such advantage will be more than offset by additional capital charge for operational risk and increased capital requirement for market risk. This partly explains the current trend of consolidation in the banking industry. Competition among banks for highly rated corporates needing lower amount of capital may exert pressure on already thinning interest spread. Further, huge implementation cost may also impact profitability for smaller banks. The biggest challenge is the re-structuring of the assets of some of the banks as it would be a tedious process, since most of the banks have poor asset quality leading to significant proportion of NPA. This also may lead to Mergers Acquisitions, which itself would be loss of capital to entire system. The new norms seem to favor the large banks that have better risk management and measurement expertise, who also have better capital adequacy ratios and geographically diversified portfolios. The smaller banks are also likely to be hurt by the rise in weightage †¢ †¢ †¢ 11 of inter-bank loans that will effectively price them out of the market. Thus, banks will have to re-structure and adopt if they are to survive in the new environment. †¢ Since improved risk management and measurement is needed, it aims to give impetus to the use of internal rating system by the international banks. More and more banks may have to use internal model developed in house and their impact is uncertain. Most of these models require minimum historical bank data that is a tedious and high cost process, as most Indian banks do not have such a database. The technology infrastructure in terms of computerization is still in a nascent stage in most Indian banks. Computerization of branches, especially for those banks, which have their network spread out in remote areas, will be a daunting task. Penetration of information technology in banking has been successful in the urban areas, unlike in the rural areas where it is insignificant. An integrated risk management concept, which is the need of the hour to align market, credit and operational risk, will be difficult due to significant disconnect between business, risk managers and IT across the organizations in their existing set-up. Implementation of the Basel II will require huge investments in technology. According to estimates, Indian banks, especially those with a sizeable branch network, will need to spend well over $ 50-70 Million on this. Computation of probability of default, loss given default, migration mapping and supervisory validation require creation of historical database, which is a time consuming process and may require initial support from the supervisor. With the implementation of the new framework, internal auditors may become increasingly involved in various processes, including validation and of the accuracy of the data inputs, review of activities performed by credit functions and assessment of a bank’s capital assessment process. Pillar 3 purports to enforce market discipline through stricter disclosure requirement. While admitting that such disclosure may be useful for supervisory authorities and rating agencies, the expertise and ability of the general public to comprehend and interpret disclosed information is open to question. Moreover, too much disclosure may cause information overload and may even damage financial position of bank. Basel II proposals underscore the interaction between sound risk management practices and corporate good governance. The bank’s board of directors has the responsibility for setting the basic tolerance levels for various types of risk. It should also ensure that management establishes a framework for assessing the risks, develop a system to relate risk to the bank’s capital levels and establish a method for monitoring compliance with internal policies. The risk weighting scheme under Standardised Approach also creates some incentive for some of the bank clients to remain unrated since such entities receive a lower risk weight of 100 per cent vis-a-vis 150 per cent risk weight for a lowest rated client. This might specially be the case if the unrated client expects a poor rating. The banks will need to be watchful in this regard. †¢ †¢ †¢ †¢ †¢ †¢ †¢ †¢ We can conclude by saying that the Basel II framework provides significant incentives to banks to sharpen their risk management expertise to enable more efficient risk-return tradeoffs, it also presents a valuable opportunity to gear up their internal processes to the 12 international best standards. This would require substantial capacity building and commitment of resources through close involvement of the banks’ Top Management in guiding this arduous undertaking. Notwithstanding intense competition, the expansionary phase of the economy is expected to provide ample opportunities for the growth of the banking industry. The growth trajectory, adherence to global best practices and risk management norms are likely to catapult the Indian Banks onto the global map, making them a force to reckon with. VI. References 1. The Evolution to Basel II by Donald Inscoe, Deputy Director, Division of Insurance and Research, US Federal Deposit Insurance Corporation. 2. Basel II – Challenges Ahead of the Indian Banking Industry by Jagannath Mishra and Pankaj Kumar Kalawatia. 3. Basel II Norms and Credit Ratings by CA Sangeet Kumar Gupta. 4. The Business Line Magazine. 5. The Chartered Accountant – Journal of the Institute of Chartered Accountants of India. 6. www. bis. org 7. www. rbi. org. in 8. www. wikipedia. org 9. www. google. com VII. The Technical Paper Presentation Team Name of Member Email ID’s rahulscsharma@icai. org tulsyan. abhishek@yahoo. co. in sikha. kedia0311@gmail. com ca. gouravmodi@gmail. com Praveen_did@yahoo. com 1. Rahul Sharma 2. Abhishek Tulsyan 3. Sikha Kedia 4. Gourav Modi 5. Praveen Didwania 13 Basel Norms in India Basel Norms in India Basel Norms in India B. C. D. E. F. G. Background Functions of Basel Committee The Evolution to Basel II – First Basel Accord Capital Requirements and Capital Calculation under Basel I Criticisms of Basel I New Approach to Risk Based Capital Structure of Basel II First Pillar : Minimum Capital Requirement Types of Risks under Pillar I The Second Pillar : Supervisory Review Process The Third Pillar : Market Discipline 3 3 3 3 3 4 4 II. The Three Pillar Approach A. B. C. D. 5 5 6 6 7 7 7 III. Capital Arbitrage and Core Effect of Basel II A. Capital Arbitrage B. Bank Loan Rating under Basel II Capital Adequacy Framework C. Effect of Basel II on Bank Loan Rating IV. Basel II in India A. Implementation C. Impact on Indian Banks D. Impact on Various Elements of Investment Portfolio of Banks E. Impact on Bad Debts and NPA’s of Indian Banks D. Government Policy on Foreign Investment E. Threat of Foreign Takeover 8 8 9 10 10 10 V. Conclusion A. SWOT Analysis of Basel II in Indian Banking Context B. Challenges going ahead under Basel II 11 11 13 13 VI. VII. References The Technical Paper Presentation Team 2 I. Introduction: A. Background Basel II is a new capital adequacy framework applicable to Scheduled Commercial Banks in India as mandated by the Reserve Bank of India (RBI). The Basel II guidelines were issued by the Basel Committee on Banking Supervision that was initially published in June 2004. The Accord has been accepted by over 100 countries including India. In April 2007, RBI published the final guidelines for Banks operating in India. Basel II aims to create international standards that deals with Capital Measurement and Capital Standards for Banks which banking regulators can use when creating regulations about how much banks need to put aside to guard against the types of financial and operational risks banks face. The Basel Committee on Banking Supervision was constituted by the Central Bank Governors of the G-10 countries in 1974 consisting of members from Australia, Brazil, Canada, United States, United Kingdom, Spain, India, Japan, etc to name a few. The ommittee regularly meets four times a year at the Bank for International Settlements (BIS) in Basel, Switzerland where its 10 member Secretariat is located. B. Functions of the Basel Committee The purpose of the committee is to encourage the convergence toward common approaches and standards. However, the Basel Committee is not a classical multilateral organisation like World Trade Organisation. It has no founding treaty and it does not issue binding regulat ions. It is rather an informal forum to find policy solutions and promulgate standards. C. The Evolution to Basel II – First Basel Accord The First Basel Accord (Basel I) was completed in 1988. The main features of Basel I were: †¢ †¢ †¢ Set minimum capital standards for banks Standards focused on credit risk, the main risk incurred by banks Became effective end-year 1992 The First Basel Accord aimed at creating a level playing field for internationally active banks. Hence, banks from different countries competing for the same loans would have to set aside roughly the same amount of capital on the loans. D. Capital Requirements and Capital Calculation under Basel – I Minimum Capital Adequacy ratio was set at 8% and was adjusted by a loan’s credit risk weight. Credit risk was divided into 5 categories viz. 0%, 10%, 20%, 50% and 100%. Commercial loans, for example, were assigned to the 100% risk weight category. To calculate required capital, a bank would multiply the assets in each risk category by the category’s risk weight and then multiply the result by 8%. Thus, a Rs 100 commercial loan would be multiplied by 100% and then by 8%, resulting in a capital requirement of Rs8. E. Criticisms of Basel – I Following are the criticisms of the First Basel Accord (Basel I):†¢ †¢ It took too simplistic an approach to setting credit risk weights and for ignoring other types of risk. Risks weights were based on what the parties to the Accord negotiated rather than on the actual risk of each asset. Risk weights did not flow from any particular insolvency probability standard, and were for the most part, arbitrary. 3 †¢ †¢ †¢ The requirements did not account for the operational and other forms of risk that may also be important. Except for trading account activities, the capital standards did not account for hedging, diversification, and differences in risk management techniques. Advances in technology and finance allowed banks to develop their own capital allocation models in the 1990’s. This resulted in more accurate calculation of bank capital than possible under Basel I. These models allowed banks to align the amount of risk they undertook on a loan with the overall goals of the bank. Internal models allow banks to more finely differentiate risks of individual loans than is possible under Basel – I. It facilitates risks to be differentiated within loan categories and between loan categories and also allows the application of a capital charge to each loan, rather than each category of loan. F. New Approach to Risk-Based Capital †¢ †¢ †¢ By the late 1990’s, growth in the use of regulatory capital arbitrage led the Basel Committee to begin work on a new capital regime (Basel II) Effort focused on using banks’ internal rating models and internal risk models June 1999: The Basel Committee issued a proposal for a new capital adequacy framework to replace Basel – I. In order to overcome the criticisms of Basel – I and for adoption of the new approach to riskbased capital, Basel II guidelines were introduced. G. Structure of Basel – II Basel – II adopts a three pillar approach: †¢ †¢ †¢ Pillar I – Minimum Capital Requirement (Addressing Credit Risk, Operational Risk Market Risk) Pillar II – Supervisory Review (Provides Framework for Systematic Risk, Liquidity Risk Legal Risk) Pillar III – Market Discipline Disclosure (To promote greater stability in the financial system) II. The Three Pillar Approach The first pillar establishes a way to quantify the minimum capital requirements. The main objective of Pillar I is to align capital the adequacy ratios to the risk sensitivity of the assets affording a greater flexibility in the computation of banks’ individual risk. Capital Adequacy Ratio is defined as the amount of regulatory capital to be maintained by a bank to account for various risks inbuilt in the banking system. The focus of Capital Adequacy Ratio under Basel I norms was on credit risk and was calculated as follows: Capital Adequacy Ratio = Tier I Capital+Tier II Capital Risk Weighted Assets Basel Committee has revised the guidelines in the year June 2001 known as Basel II Norms. Capital Adequacy Ratio in New Accord of Basel II: Capital Adequacy Ratio = Total Capital (Tier I Capital+Tier II Capital) Market Risk(RWA) + Credit Risk(RWA) + Operation Risk(RWA) *RWA = Risk Weighted Assets Calculation of Capital Adequacy Ratio: Total Capital: Total Capital constitutes of Tier I Capital and Tier II Capital less shareholding in other banks. Tier I Capital = Ordinary Capital + Retained Earnings Share Premium – Intangible assets. Tier II Capital = Undisclosed Reserves + General Bad Debt Provision+ Revaluation Reserve+ Subordinate debt+ Redeemable Preference shares Tier III Capital: Tier III Capital includes subordinate debt with a maturity of at least 2 years. This is addition or substitution to the Tier II Capital to cover market risk alone. Tier III Capital should not cover more than 250% of Tier I capital allocated to market risk. A. First Pillar : Minimum Capital Requirement B. Types of Risks under Pillar I . Credit Risk Credit risk is the risk of loss due to a debtor’s non-payment of a loan or other line of credit (either the principal or interest (coupon) or both). Basel II envisages two different ways of measuring credit risk which are standarised approach, Internal Rating-Based Approach. The Standardised Approach The standardized approach is conceptually the same as the present Accord, but is more ri sk sensitive. Under this approach the banks are required to use ratings from External Credit Rating Agencies to quantify required capital for credit risk. The Internal Ratings Based Approach (IRB) Under the IRB approach, different methods will be provided for different types of loan exposures. Basically there are two methods for risk measurement which are Foundation IRB and Advanced IRB. The framework allows for both a foundation method in which a bank estimate the probability of default associated with each borrower, and the supervisors will 5 supply the other inputs and an advanced IRB approach, in which a bank will be permitted to supply other necessary inputs as well. Under both the foundation and advanced IRB approaches, the range of risk weights will be far more diverse than those in the standardized approach, resulting in greater risk sensitivity. 2. Operational Risk An operational risk is a risk arising from execution of a company’s business functions. As such, it is a very broad concept including e. g. fraud risk, legal risk, physical or environmental risks, etc. Basel II defines operational risk as the risk of loss resulting from inadequate or failed internal processes, people and systems, or from external events. Although the risks apply to any organization in business, this particular risk is of particular relevance to the banking regime where regulators are responsible for establishing safeguards to protect against systematic failure of the banking system and the economy. Banks will be able to choose between three ways of calculating the capital charge for operational risk – the Basic Indicator Approach, the Standardized Approach and the advanced measurement Approaches. 3. Market Risk Market risk is the risk that the value of a portfolio, either an nvestment portfolio or a trading portfolio, will decrease due to the change in value of the market risk factors. The four standard market risk factors are stock prices, interest rates, foreign exchange rates, and commodity prices. The preferred approach is VAR(value at risk). C. The Second Pillar : Supervisory Review Process Supervisory review process has been introduced to ensure not only that banks have adequate capital to support all th e risks, but also to encourage them to develop and use better risk management techniques in monitoring and managing their risks. The process has four key principles – a) Banks should have a process for assessing their overall capital adequacy in relation to their risk profile and a strategy for monitoring their capital levels. b) Supervisors should review and evaluate bank’s internal capital adequacy assessment and strategies, as well as their ability to monitor and ensure their compliance with regulatory capital ratios. c) Supervisors should expect banks to operate above the minimum regulatory capital ratios and should have the ability to require banks to hold capital in excess of the minimum. ) Supervisors should seek to intervene at an early stage to prevent capital from falling below minimum level and should require rapid remedial action if capital is not mentioned or restored. D. The Third Pillar : Market Discipline Market discipline imposes strong incentives to banks to conduct their business in a safe, sound and effective manner. It is proposed to be effected through a series of disclosure requirements on capital, risk exposure etc. so that market participants can assess a bank’s capital adequacy. These disclosures should be made at least semiannually and more frequently if appropriate. Qualitative disclosures such as risk management objectives and policies, definitions etc. may be published annually. 6 III. Capital Arbitrage and Core Effect of Basel II Regulatory arbitrage is where a regulated institution takes advantage of the difference between its real (or economic) risk and the regulatory position. Securitization is the main means used by Banks to engage in Regulatory Capital Arbitrage. Example of Capital Arbitrage is given below: A. Capital Arbitrage †¢ Assume a bank has a portfolio of commercial loans with the following ratings and internally generated capital requirements – AA-A: 3%-4% capital needed – B+-B: 8% capital needed – B- and below: 12%-16% capital needed Under Basel I, the bank has to hold 8% risk-based capital against all of these loans To ensure the profitability of the better quality loans, the bank engages in capital arbitrage, it securitizes the loans so that they are reclassified into a lower regulatory risk category with a lower capital charge Lower quality loans with higher internal capital charges are kept on the bank’s books because they require less risk-based capital than the bank’s internal model indicates. †¢ †¢ †¢ B. Bank Loan Rating under Basel – II Capital Adequacy Framework †¢ On April 27, 2007, the Reserve Bank of India released the final guidelines for implementation of the New Capital Adequacy Framework (Basel II) applicable to the Banking system of the country The new framework mandates that the amount of capital provided by a bank against any loan and facility will be based on the credit rating assigned to the loan issue by an external rating agency. This means that a loan and a facility with a higher credit rating will attract a lower risk weight than one with a lower credit rating. †¢ †¢ Illustration of capital-saving potential by banks on a loan of Rs 1000 million Rating Basel I Basel II Capital Saved (Rs Long Short Risk Capital Risk Capital Million) Term Term Weight Required* Weight Required Rating Rating (Rs Million) (Rs Million) AAA P1+ 100% 90 20% 18 72 AA P1 100% 90 30% 27 63 A P2 100% 90 50% 45 45 BBB P3 100% 90 100% 90 0 BB P4 P5 100% 90 150% 135 (45) below Unrated Unrated 100% 90 100% 90 0 *Capital required is computed as Loan Amount ? Risk Weight ? 9% C. Effect of Basel – II on Bank Loan Rating †¢ †¢ Banks would either prefer that the Borrower should get itself rated, or, It would prefer that the borrowing institution should pay a higher rate of interest to compensate for the loss. 7 To substantiate the above fact, following example is taken in respect of a strong company: Loan of Rating AAA is taken of Rs 100 Crores @ 12% interest rate Capital Adequacy Rating Risk % Capital Required Opportunity Ratio (Rs Crores) Interest lost by the Bank (Rs Crores) C. A. R. Unrated 100% 9. 00 1. 08 C. A. R. New 20% 1. 80 0. 22 Total Opportunity Interest lost by the Bank (Rs Crores) 0. 86 Hence, Banks would resort to the above-mentioned measures in order to reduce or curb this loss on opportunity interest. Worse affected by this action taken by Banks would be the weaker companies. They would either be charged a higher rate of interest on loans to compensate for the loss or would alternatively have to approach another bank charging a lower rate of interest. The ideal solution to this problem would be that a weaker company should get itself rated and also take steps in order to have a better credit rating. Credit Rating is an evaluation of credit worthiness of a person, company or instrument. Thus, it indicates their willingness to pay for the obligation and the net worth. IV. Basel II in India A. Implementation The deadline for implementing the base approach of Basel II norms in India, was originally set for March 31, 2007. Later the RBI extended the deadline for Foreign banks in India and Indian banks operating abroad to meet those norms by March 31, 2008, while all other scheduled commercial banks were to adhere to the guidelines by March 31, 2009. Later the RBI confirmed that all commercial banks were Basel II compliant by March 31, 2009. Keeping in view the likely lead time that may be needed by the banks for creating the requisite technological and the risk management infrastructure, including the required databases, the MIS and the skill up-gradation, etc. , RBI has proposed the implementation of the advanced approaches under Basel II in a phased manner starting from April 1, 2010 B. Impact on Indian Banks Basel II allows national regulators to specify risk weights different from the internationally recommended ones for retail exposures. The RBI had, therefore, announced an indicative set of weights for domestic corporate long-term loans and 8 bonds subject to different ratings by international rating agencies such as Moody’s Investor Services which are slightly different from that specified by the Basel Committee (Table 1). C. Impact on various elements of the investment portfolio of banks The bonds and debentures portfolio of the banks consist of investments into higher rated companies, hence the corporate assets measured using the standardised approach may be exposed to slightly lower risk weights in comparison with the 100 per cent risk weights assigned under Basel I. The Indian banks have a large short-term portfolio in the form of cash credit, overdraft and working capital demand loans, which were un-rated, and carried a risk weight of 100 per cent under the Basel I regime. They also have short-term investments in commercial papers in their investment portfolio, which also carried a 100 per cent risk weight. The RBI’s capital adequacy guidelines has prescribed lower risk weights for short-tem exposures, if these are rated (Table 2). This provides the banks with an opportunity to benefit from their investments in commercial paper (which are typically rated in A1+/A1 category) and give them the potential to exploit the proposed short-term credit risk weights by obtaining short-term ratings for exposures in the form of cash credit, overdraft and working capital loans. The net result is that the implementation of Basel II provided Indian banks with the opportunity to significantly reduce their credit risk weights and reduce their required regulatory capital, if they suitably adjust their portfolio by lending to rated but strong corporate and increase their retail lending. According to some reports, most of the Indian banks who have migrated to Basel II have reported a reduction in their total Capital Adequacy Ratios (CARs). However, a few banks, those with high exposures to higher rated corporate or to the regulatory retail portfolio, have reported increased CARs. However, a recent study by New Delhi-based industry lobby group Assocham has concluded that Capital Adequacy Ratio (CAR) of a group of commercial banks, which were part of the study improved to 13. 48% in 2008-09 from 12. 35% in 2007-08, due to lower risk weights, implementation of Basel II norms and slower credit growth. 9 D. Bad debts and requirement of additional capital In this context, the situation regarding bad debts and NPA’s is very pertinent. The proportion of total NPAs to total advances declined from 23. 2 per cent in March 1993 to 7. per cent in March, 2004. The improvement in terms of NPAs has been largely the result of provisioning or infusion of capital. This meant that if the banks required more capital, as they would to implement Basel II norms, they would have to find capital outside of their own or the governmentâ₠¬â„¢s resources. ICRA has estimated that, Indian banks would need additional capital of up to Rs. 12,000 crore to meet the capital charge requirement for operational risk under Basel II. Most of this capital would be required by PSBs Rs. 9,000 crore, followed by the new generation private sector banks Rs. 1,100 crore, and the old generation private sector bank Rs. 750 crore. In practice, to deal with this, a large number of banks have been forced to turn to the capital market to meet their additional regulatory capital requirements. ICICI Bank, for example, has raised around Rs. 3,500 crore, thus improving its Tier I capital significantly. Many of the PSBs, namely, Punjab National Bank, Bank of India, Bank of Baroda and Dena Bank, besides private sector banks such as UTI Bank have either already tapped the market or have announced plans to raise equity capital in order to boost their Tier I capital. E. Government Policy on foreign investment The need to go public and raise capital challenged the government policy aimed at restricting concentration of share ownership, maintaining public dominance and limiting foreign influence in the banking sector. One immediate fallout was that PSBs being permitted to dilute the government’s stake to 51 per cent, and the pressure to reduce this to 33 per cent increased. Secondly, the government allowed private banks to expand equity by accessing capital from foreign investors. This put pressure on the RBI to rethink its policy on the ownership structure of domestic banks. In the past the RBI has emphasised the risks of concentrated foreign ownership of banking assets in India. Subsequent to a notification issued by the Government, which had raised the FDI limit in private sector banks to 74 per cent under the automatic route, a comprehensive set of policy guidelines on ownership of private banks was issued by the RBI. These guidelines stated, among other things, that no single entity or group of related entities would be allowed to hold shares or exercise control, directly or indirectly, in any private sector bank in excess of 10 per cent of its paid-up capital. F. Threat of foreign takeover There has been growing pressure to consolidate domestic banks to make them capable of facing international competition. Indian banks are pigmies compared with the global majors. India’s biggest bank, the State Bank of India, which accounts for onefifth of the total banking assets in the country, is roughly one-fifth as large as the world’s biggest bank Citigroup. Given this difference, even after consolidation of 10 omestic banks, the threat of foreign takeover remains if FDI policy with respect to the banking sector is relaxed. Not surprisingly, a number of foreign banks have already evinced an interest in acquiring a stake in Indian banks. Thus, it appears that foreign bank presence and consoli dation of banking are inevitable post Basel II. V. Conclusion A. SWOT Analysis of Basel II in Indian Banking Context Strenghts †¢ †¢ Aggression towards development of the existing standards by banks. Strong regulatory impact by central bank to all the banks for implementation. Presence of intellectual capital to face the change in implementation with good quality. †¢ †¢ †¢ Weaknesses Poor Technology Infrastructure Ineffective Risk Measures Presence of more number of Smaller banks that would likely to be impacted adversely. †¢ Opportunities †¢ †¢ Increasing Risk Management Expertise. Need significant connection among business,credit and risk management and Information Technology. Advancement of Technologies. Strong Asset Base would help in bigger growth. †¢ †¢ Threats Inability to meet the additional Capital Requirements Loss of Capital to the entire banking system, due to Mergers and acquisitions. Huge Investments in technologies †¢ †¢ †¢ B. Challenges going ahead under Basel II †¢ The new norms will almost invariably increase capital requirement in all banks across the board. Although capital requirement for credit risk may go down due to adoption of more risk sensitive models – such advantage will be more than offset by additional capital charge for operational risk and increased capital requirement for market risk. This partly explains the current trend of consolidation in the banking industry. Competition among banks for highly rated corporates needing lower amount of capital may exert pressure on already thinning interest spread. Further, huge implementation cost may also impact profitability for smaller banks. The biggest challenge is the re-structuring of the assets of some of the banks as it would be a tedious process, since most of the banks have poor asset quality leading to significant proportion of NPA. This also may lead to Mergers Acquisitions, which itself would be loss of capital to entire system. The new norms seem to favor the large banks that have better risk management and measurement expertise, who also have better capital adequacy ratios and geographically diversified portfolios. The smaller banks are also likely to be hurt by the rise in weightage †¢ †¢ †¢ 11 of inter-bank loans that will effectively price them out of the market. Thus, banks will have to re-structure and adopt if they are to survive in the new environment. †¢ Since improved risk management and measurement is needed, it aims to give impetus to the use of internal rating system by the international banks. More and more banks may have to use internal model developed in house and their impact is uncertain. Most of these models require minimum historical bank data that is a tedious and high cost process, as most Indian banks do not have such a database. The technology infrastructure in terms of computerization is still in a nascent stage in most Indian banks. Computerization of branches, especially for those banks, which have their network spread out in remote areas, will be a daunting task. Penetration of information technology in banking has been successful in the urban areas, unlike in the rural areas where it is insignificant. An integrated risk management concept, which is the need of the hour to align market, credit and operational risk, will be difficult due to significant disconnect between business, risk managers and IT across the organizations in their existing set-up. Implementation of the Basel II will require huge investments in technology. According to estimates, Indian banks, especially those with a sizeable branch network, will need to spend well over $ 50-70 Million on this. Computation of probability of default, loss given default, migration mapping and supervisory validation require creation of historical database, which is a time consuming process and may require initial support from the supervisor. With the implementation of the new framework, internal auditors may become increasingly involved in various processes, including validation and of the accuracy of the data inputs, review of activities performed by credit functions and assessment of a bank’s capital assessment process. Pillar 3 purports to enforce market discipline through stricter disclosure requirement. While admitting that such disclosure may be useful for supervisory authorities and rating agencies, the expertise and ability of the general public to comprehend and interpret disclosed information is open to question. Moreover, too much disclosure may cause information overload and may even damage financial position of bank. Basel II proposals underscore the interaction between sound risk management practices and corporate good governance. The bank’s board of directors has the responsibility for setting the basic tolerance levels for various types of risk. It should also ensure that management establishes a framework for assessing the risks, develop a system to relate risk to the bank’s capital levels and establish a method for monitoring compliance with internal policies. The risk weighting scheme under Standardised Approach also creates some incentive for some of the bank clients to remain unrated since such entities receive a lower risk weight of 100 per cent vis-a-vis 150 per cent risk weight for a lowest rated client. This might specially be the case if the unrated client expects a poor rating. The banks will need to be watchful in this regard. †¢ †¢ †¢ †¢ †¢ †¢ †¢ †¢ We can conclude by saying that the Basel II framework provides significant incentives to banks to sharpen their risk management expertise to enable more efficient risk-return tradeoffs, it also presents a valuable opportunity to gear up their internal processes to the 12 international best standards. This would require substantial capacity building and commitment of resources through close involvement of the banks’ Top Management in guiding this arduous undertaking. Notwithstanding intense competition, the expansionary phase of the economy is expected to provide ample opportunities for the growth of the banking industry. The growth trajectory, adherence to global best practices and risk management norms are likely to catapult the Indian Banks onto the global map, making them a force to reckon with. VI. References 1. The Evolution to Basel II by Donald Inscoe, Deputy Director, Division of Insurance and Research, US Federal Deposit Insurance Corporation. 2. Basel II – Challenges Ahead of the Indian Banking Industry by Jagannath Mishra and Pankaj Kumar Kalawatia. 3. Basel II Norms and Credit Ratings by CA Sangeet Kumar Gupta. 4. The Business Line Magazine. 5. The Chartered Accountant – Journal of the Institute of Chartered Accountants of India. 6. www. bis. org 7. www. rbi. org. in 8. www. wikipedia. org 9. www. google. com VII. The Technical Paper Presentation Team Name of Member Email ID’s rahulscsharma@icai. org tulsyan. abhishek@yahoo. co. in sikha. kedia0311@gmail. com ca. gouravmodi@gmail. com Praveen_did@yahoo. com 1. Rahul Sharma 2. Abhishek Tulsyan 3. Sikha Kedia 4. Gourav Modi 5. Praveen Didwania 13

Certified Aviation Manager Program Essay Example | Topics and Well Written Essays - 500 words - 1

Certified Aviation Manager Program - Essay Example This personal and corporate assurance is a first step into the responsibility of management, and is also serves as a guide to my future obligations to the industry. My goal of working as a department manager will necessitate that I prepare for this additional responsibility. A department manager is accountable to corporate interests as well as being responsible to their employee's concerns and needs. These may be the interactions that take place on a professional level between employees, or may involve the long-term corporate strategy of aviation scheduling or security. CAM Certification provides the foundation for insuring that the qualified manager has the breadth of education and experience required to operate in that capacity. It will assure that I not only have the scope of knowledge necessary, but will also provide me with the confidence that I have the most up to date information and state of the art methods available. The aviation industry is a rapidly changing landscape. Increased regulation, new technology, and heightened security concerns place a high demand on managers in aviation to demonstrate their capability to address many different issues. CAM Certification is a focal point where like minded aviation professionals can exchange ideas and remain current on the state of aviation.

Tiananmen Square Massacre Essay Example | Topics and Well Written Essays - 1250 words

Tiananmen Square Massacre - Essay Example because of his people-oriented policies. But, later in life, he was forced to resign, without any clear causes. Initially, people began to gather in Tiananmen Square to mourn Hu Yaobang and attend his funeral. However, their sorrow soon turned to rage against the government as they started to wonder why he really was forced to resign and to demand more civil liberties. In late April 1989, hundreds of thousands protesters, mostly students, wielding placards and banners, began to gather at Tiananmen Square. In addition to Hu Yaobang's death, the protesters chose this time for their demonstrations because Soviet leader Mikhail Gorbachev would be visiting, and the attention of the world media would be on China2. As such, leaders were instantly chosen, and a series of dialogues were set up with the government, however, these were largely unsuccessful. The protesters were largely peaceful, but a few minor scuffles with police, resulting in injuries, were reported Soon, the students were joined by people from all walks of life-people who were looking for reforms in the government--teachers, doctors, factory workers, judges, and even some police officers and soldiers. Thousands of tents were enacted as they were intending to stay in the square for several days. Unhappy with the proceedings, the government resorted to cutting off the water supply to the square in an attempt to make the students disperse, but the protesters simply brought in water from other sources in Beijing. They engaged in dialogues with the government, but when the government, at first, refused to comply with their demands for democracy, they decided to go on a hunger strike-the goal was to force the government to cooperate with the protesters, or face thousands...Journal Title: World Affairs. Volume: 152. Issue: 3. Publication Year: 1989. Page Number: 148. This is a very useful journal on the hunger strike. It contains detailed account of the purpose of the hunger strike, and as such, quite useful for anyone who wishes to know the ultimate motives of the agitators.

Oliver Twist the novel Essay Example for Free

Oliver Twist the novel Essay In Oliver Twist, the novel, Dickens uses a variety of language techniques to show how villainous Bill Sikes is. The vocabulary he uses is course and elementary. That, with the use of short, sharp sentences gives a fierce thuggish effect. In the film, Bill Sikes is calm in his words however with brutal with his actions. In the film adaptation he is also presented with a delicate, more human side rather than being pot rayed as a monster all the time, like in the novel. This is helped with the non-diegetic sound, to help create and eerie and tense atmosphere. In the novel, Dickens describes him as a Robber, Housekeeper these negative words add to his person as wanting to be the alpha-male. The language Sikes uses is not thought out properly. He says whatever comes into his head and this is why he is always quick to reply. In the film, even though Nancy explains herself, he hits her, and only after hitting her he realises what he has done. In conclusion, the way that Bill Sikes is presented as a villain in both the original novel by Charles Dickens and the BBC film adaptation are quite different. The villainy and the traits of Bill Sikes are portrayed by the language used by Charles Dickens which is short and sharp for fast paced action. The interactions of Bill Sikes with the other characters in the scene and chapter in which Bill Sikes completely ignores Fagin’s warnings and is very brutal to Nancy. Furthermore his villainy is also enhanced by the author’s and the film maker’s craft and use of various devices such as non-diegetic music and how Bill Sikes is called various names in the novel and finally his presentation of a villain is also based upon how he treats Nancy and how he reacts to his surroundings. In the novel he is presented to far more villainous than he is in the BBC film adaptation as in the adaptation there is remorse and regret over Nancy’s death.

My First Computer :: essays research papers

Running Head: My First Computer My First Computer Introduction   Ã‚  Ã‚  Ã‚  Ã‚  I began working with computers about 3 years ago. Needless to say it was a shocking experience sitting in front of a picture tube and not knowing how it worked or where to begin. I began by hitting buttons and asking question at the same time.   Ã‚  Ã‚  Ã‚  Ã‚  The first computer that I bought was a new Packard Bell 486 with windows 3.1 and a Cannon bubble jet. It was more troublesome to use and I was not computer literate and I had no ideal what I had but I had a computer in my home. I was asked prior to buying the computer what I wanted put on it my answer was whatever it comes with and I had no idea what to use so the guy put some programs on it and I took it home and was in business. I would do little things at first just to try and get a feel for this thing but it would amaze me or frustrate me. I had this thing and did not know what to do with it at times I felt like throwing it out the window. The more I tried reading the book the more I got confused and I had no patience with this technology. I looked through several different computer books and that did not help. So I finally gave up on computers and left them alone for several years.   Ã‚  Ã‚  Ã‚  Ã‚  After five years I found myself in the need of a computer because I had moved up in position and it required the use of a computer and everything was becoming electronic including the forms. I when out and brought a new up to date computer for that time. It came with all this fancy software and hardware. I was happy to have it but could only do so much work on it. I could do PowerPoint slides that was my biggie I would pull up a blank screen input what I wanted print it out and head for the next slide. But PowerPoint was not the only thing the bosses wanted they wanted Excel spreadsheet, graphs, memos, and all this other stuff that I had no ideal of doing. I sat down with a friend and told him of my dilemma and he kind of put me on the right track and lost me at the same time.

Domestic Violence Against Women Essay

Various types of relationships exist between men and women. The status of women has endured a constant change; thus changing the way they are perceived by others in relationships. Despite numerous healthy relationships experienced, there are those which have negative consequences to those involved; one such relationship is that regarding domestic violence. The term domestic violence according to Walker and Gavin refers to â€Å"an intimate relationship between two adults in which one partner uses a pattern of assault and intimidating acts to assert power and control over the other partner† (Walker & Gavin, 2011). Within the context of this paper, domestic violence will refer to violent relationships between men and women where it is the women who are victimized. The purpose of this paper is tri-fold: (1) to address the development of domestic violence; and (2) to examine various attitudes regarding domestic violence; and (3) to discuss ways in which society is dealing with the issue of domestic violence. Emergence and Development According to feminists, strong patriarchal values held within a society are linked with increased risk of harm towards women (Watto, 2009, p. 561). Patriarchy exists in most societies worldwide (Watto, 2009, p. 563). The term patriarchy refers to the father having full authority of his family (Romito, 2008, p. 30). Within society’s retaining this belief system, the wife and children are the father’s property (Romito, 2008, p. 146). Many findings have developed according to Totten. He found: 1) labor divided by sexual division to be normal; 2) men are to conquer women as sexual objects; 3) abusive behavior is a justified means for resolving conflict and 4) women should respect, obey and depend on men (Totten, 2003, p. ). Thus, one can conclude that family violence is linked to the ideology of patriarchy (Duffy & Momirov, 1997, p. 123). As well, it is important to note that we live in a society which religion is prevalent, the church agrees with patriarchy (L. Walker, personal communication, October 3rd, 2011). Duffy & Momiov (1997) state: Their histories are united in the longstanding moral obligation of men, as com manded by the Church, to ensure that their wives and children behave themselves properly. Male violence may be legitimately employed to ensure such behavior. It is the patriarch’s Christian duty to â€Å"save their souls† (p. 123). Furthermore, considering society and the church agreed with the ideology of patriarchy, one can conclude that domestic violence was a private issue and was unheard or spoken of. The division of labor which has strong historical roots in society contributes to women being victimized. During the Industrial Revolution, men were seen as responsible for making the wage to support the family and the women was responsible for her role in the home as housekeeper and mother (Hutchings, 1992). Unfortunately, according to Hutchings (1992), a man may seek to have more power by abusing his wife if he feels as though he is lacking employment in his occupation. It is the male’s financial contributions into his home that gives him the opportunity to abuse his wife (Hutchings, 1992). Contributing Factors Leading to Domestic Violence as an Issue Domestic violence against women would never have become an issue if it wasn’t for the development of feminism (Duffy & Momirov, 1997, p. 23). Feminism is divided into different waves. The two waves which had a connection to the development of an issue of violence against women were one and two. It was prior to the development of the second wave of feminism, that domestic violence against women was thought to be a private issue that did not warrant a concern from the public (Blanchfield, Margesson, & Seelke, 2009, pg 1). The first wave occurred in Britain during the years of 1870-1930, it was concerned with women’s citizen rights and the right to vote; this wave lead to women gaining these rights (Charles, 2000, p. 22). Within this wave, women were concerned with being granted the vote (Crow & Gotell, 2009, p. 9). The second wave of feminism emerged in North American and Western Europe during the 1960’s and focused on women’s liberation (Charles, 2000, p. 1). During this wave, the feminists came to believe that the state had the ability to demolish policies which affected women thus granting them certain rights (Charles, 2000, p. 5). Goals of the second wave were highlighted by Charles and deal with women raising domestic violence as an issue. He states: During the 1970s, the movement formulated seven demands. These were for equal pay; equal education and job opportunities; free contraception and abortion on demand; free 24-hour urseries; financial and legal independence; an end to all discrimination against lesbians and a woman’s right to define her own sexuality; freedom from intimidation by threat or use of violence or sexual coercion, regardless of marital status, and an end to all laws, assumptions and institutions which perpetuate male dominance and men’s aggression towards women (Charles, 2000, p. 1). Successes were gained from the development of feminism. Male privilege was partially removed with the success of the feminist movements (Crow & Gotell, 2009, p. 59). Women’s opportunities increased in relation to jobs, benefits, education, independence and affluence (Crow & Gotell, 2009, p. 173). Due to women’s gain of independence, they raised their expectations of men and were more unwilling to excuse unacceptable male behavior (Crow & Gotell, 2009, p. 173). With the changing of expectations held by women, domestic assault and rape laws were changes and policies which banned harassment in the workplace were created and made common (Crow & Gotell, 2009, p. 59). Addressing the Issue The 1960’s give rise to the battered women’s movement (Schneider, 1991). Prior to the development of women’s movement, battering of women was not recognized (Schneider, 1991). This movement viewed battering as a result of gender relations which reflected female subordination and male power (Schneider, 1991). This movement strived to decrease the silence surrounding the issue of abused women and decrease society’s tolerance of the acts (Crow & Gotell, 2009, p. 170). Furthermore, this movement has provided public education to increase awareness, services to those involved and constructed legal remedies to address and stop the abuse (Schneider, 1991). Due to the increased awareness of abuse against women, the Government of Canada has made an effort to decrease the occurrence. During May of 1981, the London Police were the first Canadian police department to implement laying charges regarding spousal assault (Department of Justice, 2009). According to the Department of Justice (2009), In May 1982, the House of Commons’ Standing Committee on Health, Welfare and Social Affairs tabled its report, Report on Violence in the Family—Wife Battering. In it, the committee noted that police training (at that time) generally instructed against the arrest of a batterer unless he was actually found hitting the victim or unless the victim had suffered injuries that were â€Å"severe enough to require a certain number of stitches. During July of 1982, the House of Commons suggested that Parliament push all police to lay charges for acts of wife beating considering they lay charges for other forms of assault (Department of Justice, 2009). It was also suggested in 1983 by the Federal Provincial Task Force on Justice for Victims of Crime that there be written guidelines developed to direct officers to treat wife assault as a crime and that the act of prosecution be made without the woman’s consent (Department of Justice, 2009). Guidelines were issued to Crown prosecutors and police as to how to deal with spousal abuse by 1986 from the Attorneys General and Solicitors General (Department of Justice, 2009). These guidelines required police to file charges if they had reasonable grounds to believe the women had been assaulted (Department of Justice, 2009). The Government of Canada has been making adjustments to current bills. Bill C-15 was reintroduced in March of 2001 with the proposal of increasing the sentence of criminal harassment to ten years from the previous five year sentence (Department of Justice, 2009). Bill C-79 had been amended in December of 1999, to facilitate victim’s participation as well as that of the witnesses during the process of criminal justice (Department of Justice, 2009). For example, before the accused can be released on bail, the safety of the victim must be taken into account (Department of Justice, 2009). Bill C-27 was reformed and enforced in May of 1997; it redefined the definition of criminal harassment (Department of Justice, 2009). During a sentencing of the accused, Bill C-27 also requires that the courts take breaching of court orders into consideration (Department of Justice, 2009). Bill C-41 which discusses sentencing was amended in 1996; thus allowing women to seek compensation for expenses accumulated from the needing to leave their house due to the abuse. (Department of Justice, 2009). Bill C-42 was reinforced during February of 1995; thus making it easier for victims to receive peace bonds. Individuals and the police are now able to request a peace bond on a victim’s behalf who is at risk of harm (Department of Justice, 2009). The penalty for violating a peace bond has been raised from half a year to two years (Department of Justice, 2009). The final bill reformed was Bill C-126 which created a new charge of criminal harassment known as anti-stalking (Department of Justice, 2009). Shelter programs have been a way of society trying to help women of domestic violence (Koss, White & Kazdin, 2011, p. 185). These programs have advanced a lot since they were introduced. Early shelters were only able to offer temporary support in the form of beds (Koss, White & Kazdin, 2011, p. 185). Fortunately, shelter programs have advanced to offer more immediate services to the victims. Today, many of the programs offer emergency shelter, support groups, crisis lines which are open 24/7, counseling services, programs for children and advocacy for the victims (Koss, White & Kazdin, 2011, p. 185). Fortunately, shelters have educated victims on their rights and options, taught them about community resources, shown them additional safety strategies and given them hope for the future (Sullivan, O’Halloran & Lyon, 2008). First response teams are in place to provide safety to victimized women. The team usually consists of social workers and/or trained advocates who assist police officers during or shortly after domestic violence arrests occur (Koss, White & Kazdin, 2011, p. 185). These teams promote the message to abusers that legal consequences result from their harmful behavior and they also educate victims about resources and community services available (Koss, White & Kazdin, 2011, p. 185). Discussion There are many ways in which society suffers from domestic violence against women. Family relationships suffer severely when women endure these unhealthy relationships (Duffy & Momirov, 1997, p. 6). Family members are harmed as well (Duffy & Momirov, 19997, p. 6); for example: observing violence can affect the observer in a physical, mental, and/or emotional manner. Victims of the violence may feel humiliated (Duffy & Momirov, 1997, p. 6). One reason a victim may feel humiliated is that the abuser is a loved one for whom they trust (Duffy & Momirov, 1997, p. 6). The humiliation is usually experienced not only by the victim but also the accused but this may occur at differing times (Duffy & Momirov, 1997, p. ). The victim is likely to experience shame due to the belief that they are being attacked (Duffy & Momirov, 1997, p. 6). Considering society doesn’t want to experience negative emotions, the victims and/or accusers may try to avoid the feeling of shame thus leading to the possibility of them becoming violent (Duffy & Momirov, 1997, p. 6). The act of violence also affects those who witness it (Duffy & Momirov, 1997, p. 6). Those who have witnessed violence and then engage in relationships with others are likely to realize that their relationships are tainted (Duffy & Momirov, 1997, p. ). Due to these tainted relationships, institutions such as the police, the penal system, social services and the courts get involved with the issue to try and break the cycle (Duffy & Momirov, 19997, p. 6). Individuals fail to intervene in conflicts of domestic violence due to existent stereotypes. Many people still feel as though the issue is still a private matter, should only be dealt and discussed within the family and this it is a minor offence (Berry, 2000, p. 23). Unfortunately, people also believe they are helpless and cannot stop it issue from occurring (Berry, 2000, p. 3). Many people still believe that the issue is rare, thus they may train them self to believe it isn’t really occurring (Berry, 2000, p. 22). It is believed by some that women are naturally passive and men are to be inherently aggressive, therefore abuse is inevitable and part of human nature (Berry, 2000, p. 23). Some believe that the women provoke the violence through getting angry at the man, nagging, or speaking their minds; thus leading to the women deserving to be beaten (Berry, 2000, p. 22). Furthermore others believe it is a problem due to increased poverty or stress, thus making it limited to those of a lower class (Berry, 2000, 23). Despite the negative consequences women face in these abusive relationships with men, some choose to not seek help. Many women may feel as though they are forced to stay in these relationships to avoid becoming a lone mother living a life of poverty (Crow & Gotell, 2009, p. 85). One can understand why women may fear becoming victims of poverty because despite their wages increasing, they still earn far less than men (Crow & Gotell, 20009, p. 5). Walikhanna (2009) has many thoughts of why women stay: 1) women may keep the issue silent for the sake of their children 2) education or training may be lacking thus they are dependent on the man 3) they may believe the abuse is part of their fate or a way of living (p. 72). The women may fear the man will seek revenge (Department of Justice, 2009). Victims may live in isolated communities or face communication, cultural or language barriers (Department of Justice, 2009). Furthermore, these are but few of the reasons the issue is still prevalent thus the authorities are unable to intervene. Sometimes strategies engaged prove to be ineffective. During the beginning of an abusive relationship, the women usually employ various strategies to diminish the violence (Denmark, Rabinowitz & Sechzer, 2005, p. 398). They may call the police, seek the help of family members or the church, turn to their doctors or try to change their characteristics which the man criticizes (Denmark, Rabinowitz & Sechzer, 2005, p. 396). Unfortunately, they men will find other ways to criticize the women, the police may only diffuse the present situation, family members and/or the church may advise the women to do everything in the relationship to salvage their families and doctors may respond to the women with sleeping pills, antidepressants and tranquilizers (Denmark, Rabinowitz & Sechzer, 2005, p. 396). Future Outcome Despite all the changes society has implemented, more needs to be done to make this issue non-existent. Lots of cases in which the women are abused go unreported to police but fortunately the reported cases have increased (Department of Justice, 2009). Presently, the stigma once attached to women who admit to being victimized and seek help has declined (Berry, p. 22). Fortunately, as more stories make public awareness, their attitudes regarding the issue their attitudes are changing; they are becoming more aware of its detrimental effects as well as the negative consequences of not getting involved (Berry 1995). Community implemented programs attacking domestic violence has also seen amazing results (Berry, 1995, p. 27). The effectiveness of all future outreach programs depend on the communities attitudes (Sen, 1999, p. 37). It has been suggested that all money used to stop domestic violence has promoted the victim instead providing social solutions (Sen, 1999, p. 37). For Example: the accused are threatened with a jail sense instead of trying to change the man’s ideology which causes to seek power though the use of violence and intimidation (Sen, 1999, p. 37). Futhermore it has been thought that men who abuse women do not believe they are criminals; one study found that 80 percent of those accused has no previous contact with the law (Sen, 1999, p. 36). Unfortunately, recognizing an abuser is not easy (Walikhanna, 2009, p. 3), therefore one way of intervening in cases of domestic violence is being able to recognize the signs. Signs of a women being abused include: being anxious or afraid to please their man, doing everything he says, going along with what he does, women checking in with their partner often to report their actions, constant harassing telephone calls or the women discussing her partner as possessive, jealous or having a temper (Smith & Segal, 2011). Signs of physical use include: having frequent accidental injuries, constant absences without explanations, and wearing clothing which hides marks (Smith & Segal, 2011). Signs of isolation include: restrictions to see friends and family, limited access to credit cards, money or a vehicle and rarely being allowed in public without their partner. Furthermore, another type of abuse to observe for is psychological. Signs include: low self-esteem, depression, anxiousness, being suicidal and expression of drastic personality changes (Smith & Segal, 2011). Despite various signs to observe to identify abuse, it is important to note that these are only signs, just because an individual is experiencing a sign does not mean she is a victim of abuse. These signs are only listed to better help society identify victims. Conclusion This paper discussed the changing of domestic violence from that of a private issue to becoming a public issue. Various attitudes, beliefs and interventions were also discussed. Feminists believe society’s emphasis on patriarchal values is linked to women being victimized by men (Watto, 2009, p. 561). Victimization of women is shown through the division of labour. The emergence of feminism lead to domestic violence of women becoming recognized as an issue (Duffy & Momirov, 1997, p. 3). Feminism gained successes in relation to various issues. One of their great victory’s which had violence against women recognized as an issue arose from the battered women’s movement in the 1960’s (Schneider, 1991). Following increased awareness of the problem, the Government of Canada has implemented various interventions to try and rid the country of the problem. Not only are women victims in t his practice but so is society as a whole. Stereotypes are still present causing witnesses not to intervene. Some victims choose not to seek help despite the impact is has on them negatively. Unfortunately, there are victims who try to get help but are unsuccessful. Furthermore, despite all the progress made which deems this behavior unacceptable, it will continue to exist until more progress can be reached. In an effort to rid the future of the problem, emphasis needs to focus on society’s attitudes and beliefs as well as being able to recognize possible signs of abuse. Nevertheless, this will hopefully rid society of the issue and if not then hopefully make it one that is near non-existent.

Research Paper and Essay

Pakistan literature, that is, the literature of Pakistan, is a distinct literature that gradually came to be defined after Pakistan gained nationhood status in 1947, emerging out of literary traditions of the Indian subcontinent. The shared tradition of Urdu literature and English literature of British India was inherited by the new state. Over a period a body of literature unique to Pakistan has emerged in nearly all major Pakistani languages, including Urdu, English, Punjabi, Balochi, Pushto and Sindhi. Pakistani English writing has had some readership in the country.From 1980's Pakistani English literature began to receive national and official recognition, when the Pakistan Academy of Letters included works originally written English in its annual literary awards. The topic ‘ Repersentation of Muslim Woman through Pakistan fiction novelists’ leads to describe every aspect of Muslim Woman’s life whether she lives in Islamic country or any other country. There a re many fiction novels written by Pakistani Writers available on Muslim Woman such as Zohra by Zeenuth Futehally; Rummana Futehally Denby,Fall of Imam by Nawal Sa?dawi,Does my head look big in this?y Randa Abdel-Fattah,Amina by Mohammed Umar,Mpas for lost lovers byNadeem Aslam,Things I never told my mother byUm Daoud, The girl in the tangerine scarf by Mohja Khaf, My name is Salma by Fadia Fariq, The writing on my forehead by Nafisa Haji, Marriage on the street corner of Tehran by Shahram Nadia, Sunlight on a broken coloumn by Attia Hosain, Dear prophet-A Woman’s story, Awife for my son by Ali Ghanem and Size of a mustard seed by Umm Juwayriyah, in which authors have described different situations of Muslim Women dealing in their lives.The aim of my paper is to discusss the way in which various representations of Muslim Women are constructed in Pakistan English novels through Pakistan novelist. This paper construct the Muslim women as universal, ahistorical, and undifference category who become essentialized through the uniqueness of their difference. Literature Review: The literature discussing Muslim Women in online context, similarly to that on Muslim Women ‘offline’ , seems to be focused on head and face covering, adding to the existing bodies of themes some new ones, notably reflections on islamic dress from marketing and fashion design perspectives.POOL writes that â€Å" Heavy black hijab dominates the representations of Muslim Women internationally. † Result: Muslim women in all over the world possess all the capabilities to cope up with everyday life , though she is being exploid in some islamic country but she has the power to deal with every evil with strength and courage. Research methodology: Paradigms I have used for my research is qualitative. Tools from which I have gathered my source are iternet- wikkipedia,Amazon. com, Desistore internet service, University of Texas press, Bookclubs and Clearmart.Method of my study is document analysis. Discussuion: The representation of muslim woman begins to become a more generic gendered difference largely uncomplicated by religious or racial difference. Muslim womem are depicted through same referents as European women with little textual difference or as, Khaf puts it, with â€Å"their Muslim-ness hovering in the background† is punctuated by certain shifts in the Muslim women sexuality. For example , she becomes less of a passive object of male desire and, in some scenario , recuperates some control over her sexuality’s development.According to Kahf the â€Å"traditional myths of Islam warned or went into latency during this period because the forces producing them( e. g. ,the church) has stalled†. During this curious lull†, she argues, â€Å"older myths of islam cut off from their sources, mulate, transform and seems to float randomly, while emerging new myths are still vague and unsteady†. Following the work of Mohj Kah f , I argue that the politics of representing Muslim Women has been tied to the material and ideological conditions characterizing the relationships between â€Å"the west† and islamic societies.Drawing upon the work of Fdir Faqir , we can become aware of the courage of the Muslim Woman in his novel â€Å"MY NAME IS salma†. It is the story which throws light on the inequalities and the dangers faced by Muslim Woman in some cultures when they have a child before marriage. The novel reveals the story of Muslim girl ‘salma’ who when become pregnant before marriage in her small village in LEVANT, her her innocent days swimming in the spring are gone forever. She is swept into prison for her own protection . To the sounds of her screams , her new born baby snatched away .In the middle of the most English of towns , EXETER, she learns good manners from her landlady and settles down with an Englishman . But deep in her heart the cries of her baby daughter still e cho. When she bear them no longer , she goes back to her village to find her. It is the journey that will change anything- and nothing . Slipping between the olive groves of the LEVANT and then rain-sticked pavements of EXETER, MY NAME IS SALMA is a searing portrayal of a Muslim woman’s courage into the face of insurmountable odds.DOES MY HEAD LOOK BIG IN THIS? is the story of 16-year-old Amal, an Australian-Palestinian who struggles with standard high school drama, in the context of being a Muslim girl who has recently adopted the hijab. So, before anything, masha’Allah! Muslim teenage girls are finally represented in young adult/teen fiction. Not as terrorists. Not as child brides. Instead, they’re average high school girls. Author Randa Abdel-Fattah takes this responsibility seriously and she tries to tackle every issue facing Muslim teen girls.It’s understandable that Abdel-Fattah would have a lot to achieve in a book like this. She takes on the hijab (the decision to go from non-hijabi to full-time hijabi, the reactions, the consequences), the image of Islam in the context of modern-day terrorism, boys and dating, culture vs. Islam, sexism within the Muslim community, racism, Islamophobia, prayer and wudu, fasting, and being the lone Muslim in an upper-class Australian prep school. She’s a Muslim teenager and she watches Sex in the City. She has a mad crush on her classmate Adam, showing that Muslims are in fact not asexual!It’s interesting to see how Abdel-Fattah handles the conflicting forces within Amal: she is intensely attracted to Adam (from forearm lust to his personality), but she does not believe any romantic relationship is appropriate outside marriage. Unfortunately, the hundred books about Muslim teenagers do not exist. Does My Head Look Big in This? is what we have, the only book to cover so many issues of Western Muslim teenagers. And, despite its flaws, the book succeeds in one of its very important goals: normalizing Muslim girls. Here is Amal.She’s not a â€Å"fanatic,† she’s not a terrorist, and she doesn’t lead a life of misery and abuse. She’s just a teenage girl, dealing with standard high school problems — but she navigates them her own Islamic way. Drawing upon the wrork of UM DAOUD, with her years of living and working among Muslims, we get the realistic picture of life for Muslim women. This time, in THINGS I NEVER TOLD MY MOTHERâ€Å"she illustrate the life of thousands of Muslim women who live in more secular Muslim countries and the struggle they face between Western influences on their societies and what little they know of islam.Things I Never Told My Mother is a story set in the North African country of Tunisia. Deception has become a way of life for Iman. Ignored in her early years by her career-minded parents, the sudden intrusion of her mother into her life pushes Iman to become something she never imagined. Though Muslim, her loose lifestyle leads her into many dangerous encounters with the opposite sex. When true love does finally come her way, she finds herself incapable of returning it, perhaps losing forever the best opportunity to escape her mother’s reach. Desperation leads to desperate measures and even a reanalysis of her own faith.Could God love her? This is the question Iman asks herself as she things back over all the things she never told her mother. This book brings us face-to-face with a side of Islam many of us do not realize is there–secular Islam. Yet, many Muslim live in areas that allow a freedom that sometimes causes them to swing from the very conservative norms of the religion to a lifestyle that looks virtually nothing like what we would consider normal for the average Muslim. The author writes in such a realistic way that I was instantly drawn into the plight of the women.This novel reveals that the Muslim community is much more complex than the stereo-ty pical terrorist version portrayed in the media. Things I never told my mother will do much to increase the reader’s understanding the Muslim world. It was a fascinating exploration into the lives of women in the Muslim culture. This book shows the secular Muslim lifestyle and a young woman who lives it, until she comes in contact with people with a living faith. The author has lived among these people and understands their varied lifestyles. This book is for older youth and adults, as there are sexual situations.These situations are important to the understanding of the culture and lifestyle. The size of a mustard seed by Umm Juwayriyah , is a story of being a Muslim in the city, in America here and now: the struggles, the joys, the sorrows, the complexities. It's very realistic, and hard to believe that it's a fictional account! The characters are well-rounded, complex, and multicultural. Sullivan ushers in a new era of fiction–urban Islamic fiction–with this t ale about Jameelah, a 27-year-old Muslim woman born to what appears to be one of the inner-city's stronger blended American-Muslim families.She works as a hair stylist with her two best friends in the city's only Muslim women's owned and operated hair salon, Covered Pearls. On appearance and material possessions alone Jameelah seems to be doing big things; she has a loving family, owns a fly car, she has her own apartment and she's not too far off from getting her second degree. What most don't know is that she is one traffic jam away from losing control of her life. Being a single Muslim woman isn't easy plus post 9/11 stresses still seem to haunt her. Jameelah prays for a change, but what will she do if change actually comes?When a prominent Imam proposes marriage to Jameelah she feels as if it's the blessing that she has been waiting for from Allah. She knows marrying him will change her life, but when an unexpected family crisis erupts and secrets are exposed, Jameelah is forced to make hard choices and put her complete faith in the only One unable to break it. The author has made the characters stunningly realistic, and has given them the ability to draw you into their plights and dilemmas. Not only do we have Jameelah, the main voice of the story, we also have her sister, Khadijah, their younger brother Adam, and a lovely young Muslim convert named Shevon.Follow Jameelah as she struggles with her personal demons of attitude, family obligations and the single life. Learn about the struggles of a young Muslim convert named Shevon whose family does not accept her chosen faith. Understand what it means to be a Muslim in a post 9/11 world. A fictional story about a young Muslim woman facing everyday life and spiritual challenges in her Muslim community in Central Massachusetts. This bookit opened a window for many of the non-Muslims in our group into the ways that Islam infuses everyday life for Muslims. Marriage on the street corners of Tehran by Nadia shahr amAlthough fiction, this book is a real eye-opener to how pervasive the discrimination of women is in the modern-day culture of the Islamic Republic of Iran. The author creatively uses the format of a novel as a vehicle to tell the true stories of women who have lived the harsh reality of a society and culture that demonizes and oppresses females. The shock of reading about modern men and women following the practices of sixth- century tribal Persia in the modern city of today's Tehran will make you realize how little we average American readers know about the everyday lives of ordinary Iranian girls and women.The ancient practice of â€Å"siggeh† allowed men to contract marriage with multiple women – a practice originally intended to provide male protection to widows and children who otherwise couldn't support themselves. This novel exposes how â€Å"siggeh† is now widely used by men simply as a man's way to legally â€Å"marry† multiple women and have s ex with them at his will – it is, in fact, a legal and religiously-sanctioned form of prostitution. The heart of the novel is the story of Ateesh, a strong, thoughtful and proud young woman, who struggles to find some modicum of independence in an overwhelmingly male-dominated society.Her father marries her off at the age of twelve to an older man she has never met, and she finds herself degraded, abused and isolated in the home of her husband. She finds the courage to escape and flees back to her home, but then finds herself rejected by her father and responsible for her own future. With limited options as a young, unmarried woman, she eventually turns to the practice of temporary marriage (â€Å"siggeh†), in which she contracts herself as a â€Å"temporary bride† to different men, and in this way is able to support herself and even save some of the money she earns to put herself through school.What is so amazing is that this practice of â€Å"temporary marria ge† is practiced openly and legally in this Islamic society, allowing married men to contract with â€Å"temporary brides† whenever they want in order to legally have sex outside of marriage — shocking, in a society where adultery is itself punishable by stoning to death. In the course of the book, the author explores many other practices that oppress and harm women in these societies, including blood money and honor killings.This novel is not only an interesting, thought-provoking story, but is also a moving exposition of the more positive aesthetic aspects of the Islamic culture, especially their beautiful gardens and dramatic poetry and music. The novel is an easy read but do not be fooled, Nadia Shahram deals with complex cultural, religious, and legal issues pertaining to Muslim women. The novel,ZOHRA BY Zeenuth Futehally, is first published in 1951, is set in Hyderabad in the early part of the twentieth century.It is the story of a young high-class Muslum w oman, who is forced to marry and thus put aside her natural inclination to read and write and lead an independent life. Zohra, whose emotional growth and development mirrors the development of the Indian national consciousness. Zohra is forced to marry against her wishes at the age of eighteen at the cost of her creative inclinations. What follows is her increasing distance from her husband who does not share her creative interests and her friendship and love for her brother-in-law Hamid, who is very much the face of modern India.Zohra subjugates her desire for Hamid in the face of her sense of inviolable duty, and finally escapes the social conventions that bind her, but only through the ultimate tragedy – death. What makes this novel valuable is the rich depiction of the way of life of Zeenuth Futehally's native Hyderabad, as well as her compassionate understanding of how women were restricted by the wishes of their parents and husbands. It evokes a period of civicunrest th at preceded Indian independence. Fictionalized account of a true story of a Muslim woman, victim of disguised evils in Islamic society.AMINA by Mohammed Umar is the dramatic story of the efforts of the heroine and her friends to bring about change in the social conditions of women in Nigeria addresses pressing political issues which rarely appear in fiction – the legal status of Muslim women, the limitations imposed on them by traditional and religious conventions, the restrictions on their economic activities, the effects of a corrupt patriarchal system on the society at large and women in particular, the humiliations visited on women as a result of unquestioned male power in personal relationships – from a woman's point of view.Ingeniously conceived and deftly written, this is a story about the emancipation of women in Nigeria from within. Not simply a social document, it engages the reader's sympathy through its portrayal of the attractive and believable woman after whom it is titled–Amina. Amina is a timely novel, and the execution of the narrative is so convincingly crafted that parallels with the historical legendary life of the 16th century Hausa ruler and famous warrior Queen Amina of Zazzau seem unavoidable. The novel leaves you feeling that there is hope for change in Nigeria.The Fall of the Imam by Nawal Sa?dawi is surrounded by a coterie of ministers, the Imam rules over an imaginary earthly kingdom. Bint Allah is the Daughter of God, a beautiful illegitimate girl. She is falsely accused by the Imam of adultery and sentenced to death by stoning. Then, during the annual Victory Holiday, the Imam himself is killed. The story of each of these deaths is told repeatedly, as this powerful and poetic novel reveals the underlying hypocrisy of any male-dominated religious state, and the insufferable predicament of women in a society that must ultimately self-destruct.In the preface to The Fall of the Imam, Saadawi explains that the text comes out of her experience in Egypt and elsewhere in the Middle East during a period of ten years before the novel appeared in 1987. She speaks of her many conversations with victims of Arab culture, such as the Iranian woman whose â€Å"little girl† was raped by her jailers, and the Sudanese woman who accompanied Saadawi on a visit to the â€Å"Association for People with Amputated Hands,† where she saw many of those who had been punished under Muslim law, called â€Å"Shariat.Confronting the horrors of what men can do to men, but also what they can do to women and children, Saadawi constructed a fantasy narrative of a girl called Bint Allah, who is stoned to death for fornication, as well as crimes against God and the State–God and the State being virtually synonymous with those in power. The decision to employ fantasy as the means of representing the horrors of a repressive State entailed some risk for Saadawi in her efforts at bearing witness to atrocitie s against women.Ali Ghalem's A Wife for my Son is a sensitive account not only of how the traditional constraints of hierarchical marriage affect an intelligent, independent young woman, but also of how economic exile into a â€Å"post-colonial† society stifle the ambitions and the personality of a young husband. â€Å"Western† readers are mostly unfamiliar with the details of how marriage and family lives work in North Africa, and may be surprised at the modernity and subtlety with which the author presents his themes.A young, well-educated, woman is suddenly — and apparently without reason — converted into a bride-to-be in a conventional arranged marriage. In a patriarchal society like that of contemporary Algeria, this means not only submission to her husband's desires and neglect, but also a radical shift away from her beloved home to that of her new in-laws. Fatiha chafes under the discrimination and even dislike she encounters in her new environment , especially since her husband has gone back to seek work in France and left her â€Å"alone. â€Å"Hocine understands that e, too, is alienated by custom and by distance, but he does not have the sensitivity nor the education, nor the modernity, to characterize his loneliness in the way his young wife does. Ali Ghalem carefully and patiently describes a young woman's maturing in hostile circumstances which she is, finally, able to alter and re-create into a a network of support and even pleasure and fun. In the end, it is the young men, isolated from their customs, food and language in a hostile and discriminatory environment, who have the greatest difficulties in maintaining their customs, their personality, their birthright.This is an unusually sensitive and informative account of how inflexible gender roles affect a young generation and of the innate strengths, particularly of the young women, which can bend those roles into fulfilment and even comfort. Blasphemy promises to g enerate the same degree of excitement as her first book. Set in South Pakistan, Blasphemy is an enticing novel by Tehmina Durrani. Angry and courageous in outlook, it establishes Ms. Durrani among the foremost writers of the Subcontinent.Inspired by a true story, Blasphemy is a searing study of evil, an uncompromising look at the distortion of Islam by predatory religious leaders. In prose of great power and intensity, the author tells the tragic story of the beautiful Heer, brutalized and corrupted by Pir Sain, the man of God, her Husband. Blasphemy depicts the struggle of a Muslim Woman against all that is contrary to what Islam stands for. It is an amalgamation of fact and fiction, blending to disguise and protect the victims of a horrible human tragedy, while exposing the powerful religious imposters who prey on a wretched and powerless people.A shocking tale of cruelty, sex and violence. In order to find a cure for any disease its imperative that you detect it early, isolate it and then try and cure it. It is in this regard that credit should go to Ms. Durrani for getting to the root of a disease that has been rampant in many of the urban and rural areas of Pakistan. Blasphemy is a tale that demands concentrated effort from its readers to try and rid the country of the menace of female abuse. It gives a horrific account of how the custodians of religon are using their ‘special knowledge' to exploit the lliterate masses.The central character, Heer, is one such victim of this form of designed oppression by the antagonist Pir Sain. It’s her exceptional beauty that catches Pir Sain’s eyes at first. After abusing her body on the night of their marriage, Pir Sain sets out to control her mind and soul as Heer is forcibly adapted to a life alien to her and unbearable to any human being. Blasphemy is a tale where day after day the body keeps surrendering and the soul keeps rebelling as Heer searches for a moment of peace.Through Heer’s e xperience the author brings out a blasphemous way of life, unknown to the layman, practiced not only by Pir Sain but also by his followers. Pir Sain’s abstinence from going to his wife during Ramadan is the action of any orthodox Muslim. His beating of Heer for missing her prayers further secures his image in front of the extremists. But then there is his demand that Heer aborts their child so he may satisfy his carnal desires, demands immediate retribution. Despite all his vices, he is holy and almost divine by his followers.Blasphemy is a tale where Heer exposes the evils of these ‘holy-men' – first to herself and then to us. CONCLUSION: The evolving muslim women archetype has undergone several transmutations. Her textual presence has emvodied and symbolized the political , economic, cultured and ideological relations between Europe and the Muslim world at a particular historical momonts. Muslim woman have been represented discursively as products of both the m ale and feminist gaze within the context of varying relations power and domination.