Mumbai, September 24, 2020.
COVID-19 has already cost over USD 11 trillion compared to USD 3 trillion for World War-II, according to a report by Global Preparedness Monitoring Board. Hence, widening Risk Governance, deepening Structural Reforms and Re-Skilling across the enterprises is crucial to empower the 2nd most populous country to overcome the crisis with confidence, as discussed in a BFSI event held recently.
It is about eight months since India detected the 1st COVID Positive case on January 30, 2020. The humanitarian and economic dislocations resulting from the Pandemic have affected life, societies and economies across the world. Pre-COVID weakness in the Indian economy (i.e., large corporate defaults, rising NPAs, falling savings and investment) worsened due to the crisis.
Therefore, in order to analyse, debate and suggest future roadmap, PRMIA – the leading global association of Risk Professionals – recently organized a webinar. More than 100 participants from Banks, Asset Management Companies, Non- Banking Finance Companies, Insurance Companies, risk professionals, consultants, audit firms, business media, academicians, students, technology solution providers joined industry experts in the event.
Setting the tone of the event, the Chief Guest, Mr. Siddhartha Sengupta – former Dy. Managing Director of State Bank of India – threw light on the failure of risk governance as the key factor behind the current mess. “It is not black swan (low frequency, high impact event), but grey rhino (high probability, high impact, but ignored),” he emphasized.
Industry experts comprised Mr. Shailesh Dhuri, CEO of Decimal Point Analytics, Mr. A V Rama Rao (CRO- Canara Bank), Mr. Sidheswar Patra (CRO- Bank of Baroda) and Mr. Arvind Kumar Sharma (CRO- CSB Bank). Strategic inputs from leaders included in-depth granular monitoring of credit, liquidity and operational risks, focusing more on rural and agricultural sector, leveraging Artificial Intelligence and digital models for early detection and mitigation of risks.
PRMIA (Professional Risk Managers’ International Association) offers industry-focused education, competency- training and global-certifications for the promotion of risk management standards and best practices. According to Dr. Nirakar Pradhan, Chief Executive Officer of PRMIA India, “This is a defining moment! PRMIA’s mission is to empower millions of young graduates and industry professionals with globally competitive qualifications and job placement assistance through its India Channel Partner SRICHID Academy.”