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12 February, 2022

Why core risk management is getting so much highlighted for proper financing of a bank

 The core risk management is so much highlighted that impose to modern banking system. Due to deregulation and globalization of banking business, banks are now exposed to diversified and complex risks. As a result, effective management of such risks has been core aspects of establishing good governance in banking business in order to ensure sustainable performance. In year 2003 and 2004, Bangladesh Bank issued guidelines on the six core risks on Credit, Asset- Liability, Foreign Exchange, Internal Control & Compliance, and Money

Laundering, and ICT risks. These guidelines may help banks to measure and manage their Liquidity Risk, Interest Risk and Foreign exchange risk and minimize their losses. The ICT guideline helps to measures to prevent the unauthorized access, modification, disclosure and destruction so that now the interest of customer is fully protected. The modern banking system is more benefited securing by following the core risk management guidelines imposed by Bangladesh bank and banks is getting so much highlighted for financing as well as all operation of the bank.