ASSESSMENT OF RISK MANAGEMENT PRACTICE IN LION INTERNATONAL BANK S.C, ADDIS ABABA, ETHIOPIA.

Abstract

This thesis is aimed at the assessments of risk management practices of Lion International Bank. The data was obtained from primary sources that were collected through questionnaire and analyzed by the descriptive form of research design. Purposive sampling techniques were used to select 135 sample employees respectively. Open and closed-ended questionnaires were administered to 135 respondents from selected branches and head office and analyzed using SPSS software package. The questionnaires covered key aspects of risk management including the importance of risk management practices, risk identification, risk monitoring and nature of risk management practices. The research revealed that the bank has established a well-constructed risk management infrastructure and is following government (NBE) regulations. Proper risk management systems planted in Lion International bank has contributed to the overall success of the organization. Some recommendations were made and prominent amongst them were that banks should give emphasis on staff training in the area of risk management, develop the technology to manage risks easily and reputational risks are highly affect the banks industry so it will be better the bank consider as a risk type.