Page 94 - EXIM-Bank_Annual-Report-2023

EXIM BANK MALAYSIA
92 A Vision to Serve Empowering Growth Management Discussion and Analysis
ANNUAL REPORT 2023
STATEMENT OF RISK MANAGEMENT

RISK MAnAGEMEnt KEY PRIoRItIES FoR 2024
Key risk management priorities:

Areas Details
a. Review of Risk Conduct review based on latest Bank’s position and align it with the Corporate Strategic Plan
Appetite Metric (CSP) 2024.

The metric shall be read together with the Risk Appetite Policy document, which defines the
overall governance, types and aggregate tolerance levels of risk that the Bank is willing to accept
in pursuit of its business objectives, arising from the banking and insurance/takaful activities.

This includes communication to the stakeholders, monitoring and reporting requirements.
b. Comprehensive Stress As comprehensive stress testing is a continuous process and assessment, RMD will strive for
test Assessment continuous improvement on the stress test exercise moving forward by exploring potential areas
for enhancements, as well as establishing linkage between stress test to other risk tools and
measurements such as ICT and risk appetite metrics.
c. Implementation of Effective capital management integrated with business plan and stress test.
the Internal Capital
Adequacy Assessment
Process (ICAAP)
d. Risk transformation To shift the way the Bank’s approach and manage risk from the Traditional Silo-based to Risk
Programme Analytics driven, based on integrated enterprise-wide basis on the following four (4) strategic
thrusts:
a. Risk Portfolio Analytics and Strategy
b. Risk Advisory
c. Risk Infrastructures
d. Risk Control and Governance - Market Risk, Credit Risk, Shariah Risk and Operational Risk

e. Environmental, Social • Establishment of RMD related risk documents in relation to BNM’s Policy document on
and Governance Risk Climate Risk Management and Scenario Analysis (CRMSA).
• Establishment of EXIM Bank working group for CRMSA with Messrs. KPMG as the appointed
consultant.
• Climate risk stress test for year 2024.