ACTUAL BANKING RISK APPROACHES, THEIR REGULATION, POLICIES AND PRACTICES ON BANKING RISK MANAGEMENT

Abstract

The banking system is organized and governed by norms, specific rules, but ultimately it obeys to the same common goal of any field of activity, namely the organization of resources so that its own actions can be completed with profit. Banks are essential to the global financial market and are tempted to take advantage of the dominant position they have in financial markets. Credit institutions are the most important players in the financial market, with most of the financial markets centered on banks. The many economic crises have started from the banking system, thus some well established rules and a well-organized banking management are imposed.

Keywords

• banking prudence
• banking risk
• management
• regulatory framework
• rules