Risk of macroeconomic changes is the risk of deterioration of the Bank’s financial position as a result of an unfavourable impact of changes in macroeconomic conditions.
The objective of risk of macroeconomic changes management is identification of macroeconomic factors with a significant impact on the Bank’s operations and taking actions aimed at mitigating the unfavourable impact of potential changes in macroeconomic conditions on the Bank’s financial position.
For the purposes of measuring the risk of macroeconomic changes, the Bank uses risk measurements based on the results of comprehensive stress-tests, in particular:
- financial result and its components,
- capital adequacy measures and their components,
- selected liquidity measures.
Management activities related to the risk of macroeconomic changes consist specifically of:
- issuing internal regulations within the Bank,
- setting acceptable risk levels,
- proposals of actions aimed at reducing the level of risk in the event of elevated or high risk of macroeconomic changes occurrence.