Risk Monitoring Committee Guidelines and Work Rules

I. GENERAL PROVISIONS
In these Guidelines and Work Procedures, what is meant by:

II. MISSION
To provide an independent and objective view to the Management and the Board of Commissioners in the implementation of Good Corporate Governance in the Bank, especially those related to risk monitoring.

III. DUTIES AND RESPONSIBILITIES
The main duties of the Committee are as follows:

  1. The Committee does the following:
    1. evaluation of the suitability of the risk management policy with the implementation of the policy;
    2. monitoring and evaluation of the implementation of the tasks of the Risk Management Committee and the Risk Management Work Unit;
    3. Conduct a review of reports received from the Risk Management Committee to further submit a summary of important matters to the Board of Commissioners;
    4. Reviewing the function and performance of the Risk Management Committee to the Board of Commissioners
  2. Provide reports or recommendations to the Board of Commissioners regarding the above matters.
  3. Recommendations from the Risk Monitoring Committee must be submitted to the Board of Commissioners for approval.

IV. COMMITTEE STRUCTURE AND MEMBERSHIP

  1. Committee members, at least consisting of:
    1. An Independent Commissioner
    2. An independent party with expertise in finance
    3. An independent party with expertise in risk management
  2. The Committee is chaired by an Independent Commissioner;
  3. Members of the Board of Directors are not allowed to become members of the Committee;
  4. Independent Commissioners and Independent Parties who are members of the Committee are at least 51% (fifty one percent) of the total members of the Committee.

V. COMMITTEE RULES

  1. Committee meetings are held at least 4 (four) times in 1 (one) year, or more if deemed necessary by the Committee in accordance with the needs of the Bank;
  2. Committee meetings can only be held if attended by at least 51% (fifty one percent) of the total members, including an Independent Commissioner and an Independent Party;
  3. Committee meeting decisions are made based on deliberation and consensus
  4. In the event that consensus deliberation does not occur, the decision is made based on a majority vote;
  5. In the event that a majority vote is not achieved, the Committee Meeting must be repeated and attended by all members of the Committee;
  6. The results of the Committee meeting must be stated in the minutes of the meeting and properly documented
  7. Dissenting opinions that occur in Committee meetings must be clearly stated in the minutes of the meeting along with the reasons for the differences of opinion.

VI. AUTHORITY OF THE COMMITTEE

  1. In carrying out its duties and responsibilities, the Committee can obtain the necessary advice and assistance from internal or external parties (specialists/consultants).
  2. The authority to access all necessary sources, information and documents in accordance with their duties and responsibilities.

VII. ETC

  1. The Committee Secretariat will be assisted by a Unit that carries out the functions of the Corporate Secretary;
  2. These guidelines and work rules must be known and are binding on each member of the Committee;
  3. The Committee will review these Guidelines and Code of Conduct as needed.