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ECCB ANNUAL REPORT 2016/2017
Returning the Bank to profitability is a key goal
under the Bank’s strategic priority of Enhancing
Organisational Effectiveness. Achieving this goal
necessitates a review of the Bank’s risk tolerance as it
relates to management of the Bank’s foreign reserve
portfolio since over 90.0 per cent of the Bank’s income
is derived from this activity.
The process by which risk tolerance is analysed
and implemented in portfolio benchmarks is called
Strategic Asset Allocation (SAA). It is critical that this
process be executed in accordance with the ECCB’s
mandate to preserve capital, within the context of best
practices.
The World Bank Treasury provides advisory services
and training to official sector investment managers
including central banks, sovereign wealth funds, public
pension funds and international organisations through
the Reserves Advisory and Management Programme
(RAMP).
The technical assistance provided by The World Bank
under RAMP is comprehensive and all areas of the
reserve management function will benefit. Beyond the
technical expertise required to review the benchmark,
participation in RAMP will strengthen the following
areas of the reserve management function:
Governance
Portfolio Management
Risk/Performance Reporting
Accounting
Audit and Operational Risk
Evaluation of external asset managers
Information Technology
As a member of RAMP the Bank will also benefit from
on-going support via communication with The World
Bank Treasury team in different areas of reserve
management.
ECCB team meets with officers from RAMP to discuss the Bank’s membership in that reserves management body
ECCB Joins Reserve Advisory and Management Programme (RAMP)