Financial managers must be proactive to avert crisis
Friday, 25 December 2009
FE Report
Bangladesh's financial managers should be proactive rather than reactive and strategists rather than just onlookers of a company's balance sheet to avoid financial crisis, speakers at a seminar said Tuesday.
They made the call at the seminar on 'The New Spectrum for Financial Markets and Management' held in the capital.
Institute of Chartered Accountants of Bangladesh (ICAB) organised the seminar at its auditorium with its council member and former president Akhtar Sohel Khan FCA in the chair.
Alamgir Morshed, head of Global Markets at Standard Chartered Bank, said the global meltdown was the result of greed and speculation.
He said managers of the financial institutions have to be proactive rather than reactive and strategists rather than just looking into the company's balance sheet to have a sound banking system in Bangladesh.
"Quality of revenue will be crucial in the coming years so the managers have to look at how much risk is involved in attaining a given revenue," Morshed said during his keynote presentation.
Implementation of Basel II and market risk discipline would also be crucial, he said.
Morshed, however, forecast the year 2010 would be better than 2008 and 2009, at least, in the global financial front.
Murshid Kuli Khan, deputy governor of Bangladesh Bank, said good corporate governance would be emphasised for a better banking system in the country.
"Increased attention is likely to be given to the inherent agency problems in the financial sector," he said.
The central bank official told the audience that the recently-introduced Basel II would need further review as many new banking practices are not covered well by the accord.
ICAB President Nasir Uddin Ahmed FCA also spoke on the occasion.
Bangladesh's financial managers should be proactive rather than reactive and strategists rather than just onlookers of a company's balance sheet to avoid financial crisis, speakers at a seminar said Tuesday.
They made the call at the seminar on 'The New Spectrum for Financial Markets and Management' held in the capital.
Institute of Chartered Accountants of Bangladesh (ICAB) organised the seminar at its auditorium with its council member and former president Akhtar Sohel Khan FCA in the chair.
Alamgir Morshed, head of Global Markets at Standard Chartered Bank, said the global meltdown was the result of greed and speculation.
He said managers of the financial institutions have to be proactive rather than reactive and strategists rather than just looking into the company's balance sheet to have a sound banking system in Bangladesh.
"Quality of revenue will be crucial in the coming years so the managers have to look at how much risk is involved in attaining a given revenue," Morshed said during his keynote presentation.
Implementation of Basel II and market risk discipline would also be crucial, he said.
Morshed, however, forecast the year 2010 would be better than 2008 and 2009, at least, in the global financial front.
Murshid Kuli Khan, deputy governor of Bangladesh Bank, said good corporate governance would be emphasised for a better banking system in the country.
"Increased attention is likely to be given to the inherent agency problems in the financial sector," he said.
The central bank official told the audience that the recently-introduced Basel II would need further review as many new banking practices are not covered well by the accord.
ICAB President Nasir Uddin Ahmed FCA also spoke on the occasion.