Risk & Resilience

In a year marked by turbulence across global financial markets, Belgium’s financial sector has posted stable, though unexceptional, results. Banks and insurance companies in the country managed to uphold their solvency and liquidity positions despite facing significant challenges. With geopolitical tensions and economic uncertainty on the horizon, the National Bank of Belgium (NBB) has emphasized the need for resilience, careful oversight, and unwavering vigilance in the face of these unpredictable times.

In Norman Marks' latest article, he explores the complexities of risk management and governance frameworks, shedding light on the often-confusing acronyms that are commonly used in the industry. From Governance, Risk, and Compliance (GRC) to Enterprise Risk Management (ERM), Integrated Risk Management (IRM), and beyond, Marks provides clarity on how these terms interconnect and why understanding their nuances is crucial for effective risk management in today’s business environment.

As organizations evolve and face increasingly complex risks, the shift toward objective-centric Enterprise Risk Management (ERM) and internal audit methods has been widely recognized as more effective. By focusing on the impact of uncertainty on mission-critical objectives, companies can take a proactive approach to managing risk and better align their risk management strategies with overall business goals. Unlike traditional risk list approaches, which often focus on identifying and mitigating individual risks in isolation, objective-centric ERM integrates risk management into the organization’s strategic planning process, ensuring that risks are assessed in the context of their potential impact on key objectives.

The European Banking Authority (EBA) has recently released its 2024 Annual Report, revealing an intense year of accomplishment, adaptability, and forward-thinking strategies for the EU banking sector. As the financial world continues to face an onslought of new challenges, the EBA has remained at the forefront of ensuring stability, resilience, and a more sustainable financial framework. With 93% of its tasks from the 2024 Work Programme completed, the Authority’s work is a clear testament to its role as a steadfast regulatory force within the EU.

The financial landscape in the Netherlands is facing increasingly turbulent waters, with rising geopolitical tensions and heightened economic uncertainty putting financial stability at risk. De Nederlandsche Bank (DNB) has sounded the alarm in its latest Financial Stability Report, released today, drawing attention to the growing concerns around international trade, government budgets, and the future of European cooperation.

The GRC Report is proud to announce the launch of its new podcast, Risk Is Our Business, hosted by renowned GRC analyst Michael Rasmussen. The series promises candid, thought-provoking conversations at the intersection of governance, risk, compliance, and culture—cutting through the noise to explore what truly shapes responsible business today.

In an era where risk is increasingly interconnected, multifaceted, and shifting in real time, organizations can no longer rely on static frameworks to manage governance, risk, and compliance (GRC). Traditional tools such as policies, controls, and spreadsheets, while valuable, no longer offer the adaptability required to navigate the complexities of today’s business landscape. Risk no longer exists in isolated silos; it cascades through supply chains, reverberates across organizational structures, and evolves in response to forces like regulatory change, geopolitical events, environmental disruptions, and rapid technological advancements. To thrive in this turbulent environment, organizations need GRC tools that are as dynamic and fluid as the risks they aim to mitigate.