Specialists in accounting and financial control

"Results Oriented Change Management"

Control and integrated risk management

Banking Reform

“Ring-fencing the Wholesale and Retail Banking Operations”

The Banking Reform Act introduced by the Banking Commission, requires Banks to adapt their structures, increase the standards of conduct, and Ring-fence the Wholesale and Retail Banking Operations. This requirement sets the bar quite high for banks, pushing them to quickly and react at all levels of the organization to avoid non-compliance sanctions by the regulator.

We suggest 4 clear actions as a result of this regulatory requirement:

•Ensure Compliance: Liaise with the regulators to clearly understand the required change impacts
•Review the internal Risk Governance models
•Align the IT teams as the core of the change.
•Balance the regulatory change with the innovation investments
Despite the regulatory nature of the change, Banks are taking the opportunity to implement key cross-departmental changes in Governance, Control, Risk Management, as well as addressing Wholesale & Retail customers needs independently, both in price and quantity of lending.

Our experience in regulatory projects indicates that, if implemented correctly, our clients can significantly benefit from the regulatory changes, as an example:

•Lowering Risks exposure
•Increasing automated process
•Tailoring service to customer segments (Wholesale & Retail)
•Improving customer data models
•Establishing a robust mechanism to take risk-based decisions.
•Enable proper data reconciliation systems which enable data traceability.

  • Diagnostic

    MBC has extensive experience and a clear methodology to conduct a quick diagnostic of your organization against the Banking Reform regulatory changes

  • Governance & Risk

    We can help you Review the internal Risk Governance models

  • Data is Power

    We can help you define a clear Data Strategy for your organization

  • Project Managment Office

    The correct Project Management structure is key to succeed

In order to properly benefit from this regulatory change, Banks need to set clear goals, a correct action plan and governance to tackle the changes.

By bringing the relevant expertise to the team, banks need to react quickly, re-designing their processes accurately and performing a robust self-assessment, which together with a clear plan of action and governance, will meet the Banking Reform requirements. While obtaining a proper tool to measure and control the assets risk, providing a higher level of data granularity and transparency in terms of Central Bank reporting.

We are conscious that it is a complex challenge that Banks are facing, to balance the internal capabilities against the regulatory requirements, therefore it is absolutely important to perform a clear self-assessment of the current compliance to the regulation.


Improving Bank’s loss-absorbing capacity


Increasing the standards of conduct


Ringfencing the Wholesale and Retail Banking Operations

Do you have any further question?

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