ECCB 2016/2017 Annual Report

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ECCB ANNUAL REPORT 2016/2017

It is recognised, however, that a culture of aggressive risk avoidance could potentially stifle the progress of the institution and erode the Bank’s ability to achieve its overall objectives. Consequently, being cognisant of the need to take appropriate risks, the Risk Management Framework emphasises highly effective risk management responsibilities at all levels of the institution. Three broad categories of risk have been identified and articulated in the Risk Appetite Statement namely: Strategic, Financial, and Operational, which are further divided in multiple sub-categories. The effective management of the various risks, as identified, is reliant on detailed policies, processes and procedures as defined and documented. Monitoring and reporting are also vital elements of the framework to ensure that the practices remain in accordance with international best practices and applicable to the prevailing operating environment.

During the year, the Chief Risk Officer spearheaded the following activities as part of the Enterprise Risk Management implementation programme: •  • A review of the Bank’s corporate governance structure to ensure that the necessary infrastructure is in place to support effective risk management at the Bank; •  • The administering of a Bank-wide Risk Awareness Survey and follow-up risk awareness orientation sessions with all departments; •  • A revamping of the role of Surveillance Officers within departments to adopt a more risk- based approach. As a result, the designation was changed from Surveillance Officers to Risk Liaisons; •  • A one-week training session for select staff across the Bank, along with representatives from ECCU commercial banks, in Enterprise Risk Management and Disaster Recovery and Business Continuity Management; and •  • Thecompletionofaone-weektrainingattachment at the Office of Risk Management of the CDB.

Mr Allen Keele, facilitator, and participants of the one-week training session on Enterprise Risk Management and Disaster Recovery and Business Continuity Management which was held at the ECCB Headquarters from 20 - 24 February 2017