Earlier this month, the Basel Committee on Banking Supervision published its report on the regulatory and supervisory implications of the 2023 banking turmoil. The Basel Committee argues that the bank failures exposed widespread shortcomings in risk management and culture, highlighting the need for more effective supervision to assess such concerns.
"The first and most important source of financial and operational resilience comes from banks' own risk management practices and governance arrangements," the report reads. The collapsed banks fundamentally failed in this area, demonstrating faulty risk management, inadequate business models, poor risk culture, and insufficient response to supervisory action.
This content is available to paid Members of Starling Insights.
If you are a Member of Starling Insights, you can sign in below to access this item.
If you are not a member, please consider joining Starling Insights to support our work and get access to our entire platform. Enjoy hundreds of articles and related content from past editions of the Compendium, special video and print reports, as well as Starling's observations and comments on current issues in culture & conduct risk management.
Join The Discussion