Regulatory Alerts2016-11-16
Instruction No. 28/2016 of November 16 on Operational Risk Governance
The National Bank of Angola issued Instruction No. 28/2016 to mandate financial institutions to implement comprehensive operational risk governance frameworks encompassing identification, assessment, monitoring, control, and reporting. The directive requires institutions to adopt objective classification criteria for risk events, utilize diverse assessment tools, align internal pricing and performance metrics with risk appetite, and maintain robust internal controls and compliance monitoring policies. Additionally, it obligates institutions to develop and test business continuity plans, adhere to the "three lines of defense" model, and provide regular internal and external reports detailing risk exposures, losses, capital requirements, and mitigation strategies.