(1) The board of a licensed financial institution or a licensed financial holding company shall establish policies over the entire operations of the licensed financial institution and the licensed financial holding company, including without limitation —
(a) adequate policies and procedures for risk management;
(b) corporate governance;
© internal controls;
(d) internal audit and compliance;
© external audit; and
(f) executive compensation.
(2) The board of a licensed financial institution or a licensed financial holding company shall ensure that the risk management policies and procedures under subsection (1)(a) include appropriate risk strategies and risk management frameworks to address the following risks —
(a) credit;
(b) country and transfer;
© market;
(d) interest rate risk in the banking book;
© legal and reputational risk; and
(f) operational risks on a bank-wide basis.
(3) Where the board of a licensed financial institution or licensed financial holding company fails to comply with this section, the Central Bank may take any action against the licensed financial institution or licensed financial holding company and the directors under sections 75 to 78.