Managing Risk Factors through Corporate Governance for
Financial Institutions of Pakistan
Asim Nasar
Muhammed Saleem Mugheri
Zeeshan Rahaman
Abstract
Managing risk factors in financial organizations has
gained more importance in recent years because of
financial crisis after recession. The purpose of study
is to identify the challenges and their proposed
solutions to handle the crisis under umbrella of good
governance practices. The specific objective of this
study is to find out the factors and challenges that
effect the business of financial institutions via
practicing the good governance. In accordance to this
critical situation has been evaluated with the help of
risk regulatory model that covers the identifying,
measuring evaluating and monitoring techniques for
financial institutions in Pakistan. This study
also emphasis on strategies and ways to eliminate
organizational internal and external risk factors
through policies and modifying business models in order
to get the sustainable business position and
organization growth. The research findings based upon
the systematic review of literature and qualitative
survey from the industrial experts. This study reveals
that the risk factors directly associated with the
sustainable business growth when organization pays
worthy attention towards the corporate governance. It
also empowered the organization to build a wealthy
relationship with the customers and helps to retain the
small investment of customer with diversified banking
products.
JEL. Classification: D81; M54.
Keywords: Governance practices, Risk management and Control, Financial Institution.
