So says ANZ Banking Group’s former chief risk officer Mark Lawrence:
…most local banks are nearly a decade behind international peers transforming risk capabilities and fixing cultures, because until the Hayne royal commission there had not been a “burning platform” to stir reform like the 2008 financial crisis did overseas.
Violations exposed by the royal commission should not simply be viewed as isolated conduct breaches, Mr Lawrence said, but it was plausible the risk management weaknesses extended to other areas, including credit risk. He said he was concerned the shortcomings will limit the abilities of banks to understand and respond effectively to any future crisis.
