Risk Management
Cyber security remains critical concern for risk managers
High income central banks put greater emphasis on market and credit risks
Enterprise-wide risk management widespread among central banks
Few institutions maintain use of department-level and damage limitation approaches
Most central banks lack climate risk units
Just under half of institutions say they have difficulty hiring staff with matching skills
Cyber and fintech risk policies rejigged in a few central banks
Departmental structure varies across jurisdictions
Minority of central banks altered risk functions in past two years
Amendments emanate from factors including technology and climate change
Few central banks lack risk management strategies
Two respondents do not have a risk strategy and slightly more lack a defined risk tolerance
GRC systems remain scarce among central banks
Minority of central banks project adoption this year, others aim to upgrade
Most heads of risk management units report to governor or board
Risk management committees are more likely to exist in central banks than chief risk officers
Risk management units are most often centralised
Operational risks are the most covered area across participating jurisdictions
Bank of England launches system-wide stress-test scenario
Exercise is first-of-its-kind look at macro-prudential impact of shocks to banks and non-banks
US banks question stress-test discrepancies
Bank of America and Citigroup open talks with Fed about differing results
To govern well, manage ‘enterprise’ risk
Effective risk management should be governance-oriented and top-down; not operationally oriented and bottom-up, writes John Mendzela
Risk Management Benchmarks 2023 – presentation
Specialist Victor Mendez-Barreira discusses market volatility, cyber security and progress on climate change
UAE revokes licence for Russia’s MTS Bank
Gulf state was put on the FATF grey list last year
Risk Management Benchmarks 2022 – presentation
Central Banking’s risk management subject matter specialist Victor Mendez-Barreira speaks with Chris Jeffery about emerging risks, the organisation of risk management departments and the most influential approaches to risk management
Risk Management Benchmarks 2022 – executive summary
Insights on risk priorities among central banks and how they are changing
Risk Management Benchmarks 2022 report – assuming new responsibilities
Insights on risk priorities among central banks, the response to the pandemic, changes in organisational structures and the importance of climate change risk
Minority of central banks use GRC platforms
RSA Archer and SAP named as providers
Riksbank studies link between equity prices and interest rates
Measures that do not directly account for interest rates can better explain historical prices
Climate risks narrowly concentrated among EU banks, report finds
Only 25 EU banks bear most exposure to physical risks of climate change, ECB-ESRB report says
More syndicated loans at risk, say US regulators
Regulatory agencies say Covid-19 puts more big loans in lower categories, but cushions are strong
Only climate policy risk priced in US equity markets – research
US political debate is only “wake-up call” for investors, who seem to disregard physical risks
Eurosystem adopts common sustainable investment principles
Eurozone central banks aim for climate disclosures on non-monetary policy portfolios in two years