Cap. 574 Art. 39Responsibilities of the Supervisory Board.
(1)The responsibilities of the Supervisory Board shall include the supervision of, among others:
(a) the development, alignment and execution of the Bank’s business strategy;
(b) the realisation of the Bank’s strategic and financial targets;
(c) the capital adequacy of the Bank;
(d) the Bank’s risk bearing capacity and risk strategy as quantified in the Bank’s risk model as approved by the Supervisory Board;
(e) the structure and management of the Bank’s internal risk management and control systems;
(f) the Bank’s financial reporting process;
(g) corporate social responsibility aspects which are relevant to the Bank;
(h) the management of the Bank’s relationship with its shareholders;
(i) the Bank’s compliance with legislation and regulations;
(j) the corporate governance structure of the Bank;
(k) the remuneration policy of the Bank; and
(l) reported conflicts of interest or breaches of the Code of Ethics applicable to the Board and the staff of the Bank.
(2) The Supervisory Board shall submit its analysis, observations and recommendations to the Board and to the Minister in writing and as often as it determines, and shall require written submissions from the Board if and when its recommendations are not implemented.
(3) (a) The Supervisory Board shall give the Board general instructions and directives in respect of prudential conduct, capital adequacy, and risk policies of the Bank, including the risks inherent in its business activities for the purpose of the effective prudential supervision of the Bank in accordance with articles 35 and 41, and the Bank’s Board shall comply with such instructions and directives.
(b) If the Supervisory Board is not satisfied that its instructions and directives are being complied with, it shall refer the matter to the Minister so that the Minister may issue any regulations that may be necessary to ensure such compliance in accordance with article 41(1). its functioning and activities and submit it to the Minister and the Bank.