The World Bank's Financial Projection Model 2.0 (FPM 2.0) is an analytical tool that allows users to make projections to assess the future viability, liquidation cost, and present value of a bank under different scenarios. It can also recreate other scenarios, such as recapitalization, business planning, restructuring, and mergers. FPM 2.0 can help implement a more forward-looking approach to supervision, and ascertain the effect of internal and external events upon the financial viability of a single bank or an entire banking system in a dynamic way.
FPM 2.0 can project banks’ financial statements (balance sheet and income statement), as well as regulatory rates (capital adequacy, liquidity, and foreign exchange position ratios) and performance indicators (under a CAMEL approach), based on a set of assumptions regarding the banks` assets, liabilities, capital, liquidity, foreign exchange (FX) position, income, and expenses.
To download the model, please visit www.worldbank.org/financialprojection
We welcome any questions related to the use of the Model.