The recent economic landscape in the European Union (EU) has brought recovery to corporate activities which has reduced many of the worst fears about economic scarring and rising credit risk. The markets for equity and risky assets have maintained a striking buoyancy, making them more prone to new regulations and supervision.
Amidst the complexities and changes, financial institutions must carry on; as such the internal audit function plays a crucial role in the ongoing maintenance and assessment of a bank’s internal control, risk management, and governance systems and processes – areas in which supervisory authorities have a keen interest. Both internal auditors and supervisors use risk-based approaches to determine their respective work plans and actions.
This course explores the fundamentals of the regulatory environment in the EU and Eurozone/Euro area, the banking risk frameworks, international compliance and supervisory mechanisms that bolsters the internal audit’s key position in enabling solid communication, organizational governance, and compliance. The Institute of Internal Auditors International Professional Practices Framework (IPPF) serves as the bedrock from which transparent guidelines stem, providing a practical approach to sound and responsible internal audit activity.