1. 1. These Standards form part of the Risk Management Regulation. All banks must comply with these Standards, which expand on the Regulation. These Standards are mandatory and enforceable in the same manner as the Regulation.
2. 2. A bank's board of directors is in ultimate control of the bank and accordingly, ultimately responsible for the bank’s comprehensive approach to risk management. There is no one-size-fits-all or single best solution. Accordingly, each bank could meet the minimum requirements of the Regulation and Standards in a different way and thus may adopt an organisational framework appropriate to the risk profile, nature, size and complexity of its business and structure. The onus is on the Board to demonstrate that it has implemented a comprehensive approach to risk management. Banks are encouraged to adopt leading practices that exceed the minimum requirements of the Regulation and Standards¹.
3. 3. The Standards follow the structure of the Regulation, with each article corresponding to the specific article in the Regulation.

¹ The Central Bank will apply the principle of proportionality in the enforcement of the Regulation and Standards, whereby smaller banks may demonstrate to the Central Bank that the objectives are met without necessarily addressing all of the specifics cited in the Standards.