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Risk Management

Corporate Risks

In the corporate risk management process of Development and Investment Bank of Türkiye, the decision-making mechanism and committees take an active role together with the risk budgeting practice, thus ensuring the sound functioning of the risk management process. According to the “Risk Management Strategies, Policies, and Implementation Principles” document approved by the Board of Directors, the Bank’s general risk policy is based on the principles of specialization in the areas of activity, acceptance of identifiable, controllable, and/or manageable risks, and avoidance of taking risks other than unavoidable risks.

In this general framework, the Bank takes and implements the necessary measures to ensure that the risks it will take are defined and manageable while specializing in the fields of activity in line with its vision and structure and shaping its asset composition accordingly. Legally prescribed risk measurement and reporting techniques and internal risk measurement methods enable the measurement of the current and potential future effects of the risks taken. In addition, predictions made through stress tests and scenario analyses are evaluated through retrospective tests to ensure that risk predictions are based on a more solid foundation.

In accordance with the Bank’s risk policies, the Risk Management Unit sets written limits in line with BRSA regulations for quantifiable risks arising from the Bank’s activities.

“Risk Limits and Implementation Principles,” which is the main policy document determining the Bank’s risk appetite, is revised annually and when necessary and approved by the Board of Directors.

In this framework, the most significant indicator of the Bank’s risk appetite level is the limits set and the execution of activities within these limits. The realization of the Bank’s activities within these limits approved by the Board of Directors is periodically monitored through reports prepared by the Risk Management Unit, and in case of limit exceedances, rapid actions are taken to ensure that the risks in question are brought within the limits as soon as possible.