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3.1.2 Governance Framework

C 52/2017 STA Effective from 1/4/2021

138. Each bank is expected to describe

 
(i)Board and Senior Management oversight (i.e. ICAAP governance framework with a description of responsibilities, and the separation of functions);
 
(ii)Arrangements through which the Board and Senior Management define the bank-wide risk appetite;
 
(iii)Relevant policies and risk appetite/limits/tolerance; and
 
(iv)How the Chief Risk Officer (CRO) is held responsible for the methodology and utilisation of the ICAAP, including
 
 
 
reporting comprehensive, comprehensible information on risks; and
 
advising the Board independently and objectively, enabling them to understand the bank’s overall risk profile and to effectively discharge their responsibilities.