A comprehensive Enterprise Risk Management (ERM) framework ensures that we assess the extent of these risks in our aggregate credit portfolio on a regular basis by adopting an integrated approach to managing all the three types of risks across entities within our Group Companies.
Our focus on loan portfolio management, asset liability management (ALM) and loan pricing ensures a strong risk management framework for market and credit risks. In addition to this, we are in the process of developing various market risk modules to strengthen our risk management processes.
A comprehensive portfolio review of all project assets and equity investments of the Group on a semi-annual basis helps us to effectively manage credit risks. Our Risk Group also closely focuses on ALM to enhance the effectiveness of the current process of regular monitoring of liquidity and interest rate risks. Our sophisticated software-based ALM system enables us to capture data from various disparate platforms and allows for more detailed and comprehensive analysis.
Our ALM-based risk management system is supported by customized software which:
- Allows real-time tracking and monitoring of all types of risks
- Provides precise information on activities, risks and controls to all
- Has the capability to track, understand and manage information across the organization
- Generates risk heat maps at all levels of the business
- Shows the list of open issues at any point of time
- Enables setting up central repository for all policy and procedures
- Enables standardizing of all group policies and procedures