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Risk Management

SAIB Bank believes that risk management is a key element in achieving its mission and that a strong risk system is crucial in setting the strategic objectives.

In this regard, the bank has a full-fledged risk management with very experienced staff that assures the implementation of SAIB bank values. The bank’s new business and segmentation models enrich the sources of client information and careful selection of new client counterparts, aiming at reducing any client or sector concentration risks and increasing our detailed KYC capabilities. This allows the bank to optimize its credit risk exposures to the most appropriate clients and to reach comfort levels on the suitability of products for each client type.

The main challenge for the risk management department is boosting its capabilities through increasing use of proven and efficient IT solutions that will contribute towards better bank’s risks management, assist in the streamlining of processes, and allow all stakeholders better and prompt visibility of occurring risks events.

The operational risk department is part of the management decision making process through its involvement in the new products and services offered to the bank’s customers. The analysis of all unusual events, determining their root causes and setting the necessary mitigation actions. The full and effective roll out of risk control self-assessment remains a challenge for all banks. SAIB bank is committed to ensuring its employees have a better understanding of risks in their daily work and the required practices for effective communications between all involved parties aiming at providing prompt responses. Meanwhile, an automated solution is being installed to provide better analysis aiming to provide a wider operational risk picture. The operational risk management team is also involved with new technology transformation programs. The team assures that all the bank’s procedures are adequate at all levels of controls.

The market risk department is involved in setting additional key risk measures and tools within future business plans, aiming to enhance the monitoring of key risk exposures. This is achieved through setting appropriate plans to implement the international standards of control interest rate risk, liquidity risk, FX risk, and concentration risk and to continuously assess the bank’s capital structure position versus risk weighted assets, even under stress scenarios.