Risk Management

The risk management adaptation as an important element in BKE Bank operations is intended to reduce the unexpected, and protect the Bank from the potential losses arising from the risks. The Board of Commissioners and the Board of Directors are always responsible to ensure the Risk Management practice in Bank BKE, through:

  1. Provide approval on the Risk Management policy, strategy and framework established in accordance with the risk appetite and risk tolerance in the Bank’s business.
  2. Evaluate the implementation of Risk Management policies and strategies on a regular basis through the Board of Commissioners and Board of Directors meetings, as well as in the Risk Oversight Committee meetings.
  3. Ensuring the management and of Directors in had e ectively managed the activities and risks through the preparation, approval, implementation and evaluation of various risk management policies and procedures in the Board of Directors forum, as well as joint meetings of committees under the Board of Directors.

The Board of Commissioners assumed that the Board of Directors had undertaken every e ort to manage the risks shown through the self assessment on Bank BKE’s inherent risk rating as of December 31, 2017 the rating is 3 (Moderate Risk Level) and quality risk management implementation is ranked 2 (Satisfactory) so the composite rating of Bank BKE risk pro le is 2 (Low to Moderate Risk Level) or still stable indicating that the losses faced by the Bank from composite inherent risk is low.