Risk Management in Banking Sector An Empirical Study
Risk Management is the application of proactive strategy to plan, lead, organize, and control different types of risks which are faced by a business organization. Present paper is to make an attempt to identify the risks faced by the banking sectors and the process of risk management. This paper also examined the different techniques adopted by banking industry for risk management. In times of volatility and fluctuations in the market, financial institutions need to prove their mettle by withstanding the market variations and achieve sustainability in terms of growth and well as have a stable share value. Hence, an essential component of risk management framework would be to mitigate all the risks and rewards of the products and service offered by the bank. Thus the need for an efficient risk management framework is paramount in order to factor in internal and external risks.