Indian Banking and Financial Sector Reflection on Emerging Issues in Risk Management

Abstract

This paper examines that how stability can lead to instability via our changed behavioral pattern. In the wake of globalization and interconnectedness the benefits of diversification are becoming thinner and thinner. Further, the interest rate risk faced by the banks has become more aggravated due to fast moving capital across boundaries. Finally, the landscape of cyber risk has increased considerably and banks need to provide adequate budget for the same.

Keywords: Risk consciousness, Globalization, Ethics-deficit risk, Cyber security risk

JEL Classification: D80, G30, G41