Shamshad Akhtar: Pakistan banking sector – the need for second tier of reforms Address by Dr Shamshad Akhtar, Governor of the State Bank of Pakistan, at the Pakistan Banking Association, London, 12 November 2006. *  *  *  Introduction 1.
13 These risks may include severe weather events that can disrupt standard clearing and settlement activity and increase the demand for cash. Banks also need to manage risks surrounding potential loan losses resulting from business interruptions and bankruptcies associated with natural disasters, including risks associated with loans to properties that are likely to become uninsurable or activities that are highly exposed to climate risks.