The Reserve Bank of India has updated its ā€œguidance noteā€ on operational risk management for the financial sector, and also extended it to the non-banking financial companies (NBFCs), including housing finance companies.

Banking & Finance

The Reserve Bank of India has updated its ā€œguidance noteā€ on operational risk management for the financial sector, and also extended it to the non-banking financial companies (NBFCs), including housing finance companies. The 2005 ā€˜Guidance Note on Management of Operational Riskā€™ covered only commercial banks. All regulated entities (REs) in India should implement a robust information and communication technology (ICT) risk management programme in alignment with their operational risk management framework. REs should manage their dependencies on relationships, including those of, but not limited to, third parties (which include intragroup entities), for the delivery of critical operations. REs should develop and implement response and recovery plans to manage incidents that could disrupt the delivery of critical operations in line with the REā€™s risk appetite and tolerance for disruption.


     

     

     

 

     


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