BIMB Integrated Annual Report 2019

Chairman Encik Mohd Tarmidzi Ahmad Nordin Independent Non-Executive Director Members Puan Noraini Che Dan Senior Independent Non-Executive Director Encik Zahari @ Mohd Zin Idris Non-Independent Non-Executive Director (Appointed w.e.f 3 February 2020) Datuk Nik Mohd Hasyudeen Yusoff Non-Independent Executive Director (Ceased w.e.f 1 September 2019) Tan Sri Ismail Adam Senior Independent Non-Executive Director (Retired w.e.f 3 January 2020) During the financial year under review, six (6) BRC meetings were held. This satisfies the BRC Terms of Reference, which requires the BRC to meet at least six (6) times a year. ROLE OF THE BRC BOARD RISK COMMITTEE (“BRC”) REPORT The BRC was established on 26 July 2016 to assist the Board in ensuring that the Group has in place a sound and robust risk management framework and such framework had been effectively implemented to enhance the Group’s ability to achieve its strategic objectives. Further information on the BRC’s roles and responsibilities as highlighted in its Terms of Reference is available on the Company’s website at www.bimbholdings.com. BRC 147 BIMB HOLDINGS BERHAD 199701008362 (423858-X) Shareholders’ Information Financial Statements Additional Information Disclosure Summary How the BRC Operates BRC meetings are planned ahead for the following financial year. The proposed schedule of meetings is tabled to the Board and later communicated to the BRC members. The BRC members are provided with the meeting papers and updates of outstanding matters from the previous meeting or matters discussed at the Group Risk Management Committee meeting prior to the meeting. The Chief Executive Officer, the Group Chief Financial Officer, the Group Company Secretary, the Chief Economist, the Chief Risk Officer and the Chief Compliance Officer of the respective key operating subsidiaries attend the meetings. Other attendees, whether internal or external are invited to present the matters within their purview. Action items are issued by the Group Company Secretary on decisions made and action required. These were circulated to the Management and the respective stakeholders seven (7) days after the meeting for their further action. The Chairman of the BRC updates the Board on key matters deliberated at the BRC’s meeting. In addition, minutes of the BRC meeting are tabled to the Board for notification. Any members of the Board may enquire or seek clarification on the matters deliberated by the BRC as recorded in the minutes. The BRC Activities in 2019 The BRC activities in the year under review are summarised as below: • Monitored and discussed the risk reports of the key operating subsidiaries and where appropriate provided guidance to the Management; • Deliberated the Group’s strategic risks, corresponding key operational risks and key controls taken to manage the risks; • Reviewed the Statement of Risk Management and Internal Control, which summarises the risk management practices and internal controls implemented by the Management; • Reviewed the Board Risk Committee’s overview report; • Streamlined the risk reporting to facilitate easier monitoring of the risk associated to the key operating subsidiaries; • Deliberated the risk management dashboard (market risk, operational risk, credit risk, concentration risk, liquidity risk, capital adequacy and insurance risk movement), the risk parameters and stress test tabled by the key operating subsidiaries; • Reviewed the compliance reporting in accordance with the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001, Islamic Financial Services Act 2013, Personal Data Protection Act 2010 including other regulatory requirements and Shariah non-compliance, tabled by the key operating subsidiaries;