Background

The ongoing conflicts in the Eastern Mediterranean for nearly a year are threatening stability in the region. Additionally, the ongoing war between Russia and Ukraine, followed by the financial and monetary pressures that Egypt faced at the beginning of this year such as the wave of foreign currency withdrawals from the banking sector, the high interest rates, and inflation, and the depreciation of the Egyptian pound exchange rates, have all contributed to significant negative impacts and severe repercussions on the Egyptian economy. These developments have led to increased risk levels in Egyptian banks, exacerbated by liquidity shortages, rising sovereign debt risks, and risks related to debt portfolios due to the downgrade of Egypt’s credit rating. However, the Egyptian government has managed to regain control over the monetary, financial, and economic situation through a series of reform measures supported by financial aid from international institutions and some Arab countries.

In addition to the aforementioned issues, the global innovations in technology, particularly the artificial intelligence (AI) and its applications in the banking industry, along with environmental, social, and governance (ESG) considerations related to climate change, compel risk management to address these matters seriously, and cope with the associated risks, and take necessary macro prudential precautionary measures to mitigate them, so that they ensure the safety and soundness of banks.

These topics will be discussed and highlighted at this forum, which will serve as a brainstorming platform for high-level discussions between regulatory and supervisory authorities in Egypt and the Arab world, and risk management heads (CROs) in the Arab and Egyptian banks in particular.