In this increasingly integrated and globalized financial environment, it is important for thrift banks to always be guided by the tenets of effective risk management and sound governance standards. A changing global environment Thrift banks should fully prepare to address the risks and challenges that will come with growth opportunities in this rapidly changing business environment.
In addition, the industry should be mindful that loan exposures to particular market segments — such as consumers, MSMEs11 and agriculture — are vulnerable to market shocks. This is very relevant during this period when the Fed is broadly expected to proceed with its next steps toward interest rate normalization.