Amid the reality that Bangladesh has made its name as Emerging Tiger in South East Asia developing all related service industries, it has become imperative to equip the financial institutions officials with proper knowledge on risk management to avert fraud and data security threats.
Bangladesh is the 33rd largest economy in terms of GDP and the 2nd largest garments producer in the world and made tremendous development in all service industries like shipping, freight forwarding, custom clearance, commercial banking and legal service industries.
These were highlighted in a workshop on ‘Changing Faces of International Trade Fraud: Current Risks, Prevention & Responses’ held in Dhaka on Tuesday. The Bangladesh National Committee of International Chamber of Commerce (ICC), the world business organization organised the workshop.
Speaking at the closing session of the workshop, ICC Bangladesh President Mahbubur Rahman said: “With knowledge, along with a strategic plan, there is a better chance of mitigating risk and recognizing attacks before they do serious damage to institution.”
Smooth commercial transaction and international trade requires strong legal support by conducting due diligence on VAT, tax, custom related matters, determining terms and conditions of sales contract or proforma invoices, seeking compliance with local and international foreign exchange control regulation, international trade law, applicable INCOTERMS, UCP 600 etc, he added.
Strong understanding of criminal operation and risk management is crucial for financial institution, said ICCB chief.
With fraud and data security threats coming in so many different forms and from so many different channels, for that reason, strong understanding of criminal operation and risk management is crucial for financial institution, he said.
In some cases, this may mean investing in new technologies; in others, bridging organisational silos and training staff. In all cases, it requires taking steps that help improve institution’s ability to detect threats before they reach the customer, Rahman added.
Md. Fazlul Hoque, ICCB Executive Board Member; P. Mukundan, Director and Chief of ICC- Commercial Crime Services and ICCB Secretary General Ataur Rahman also spoke on the occasion.
A total of 193 participants from 37 commercial banks attended the workshop in Dhaka and 74 participants from 29 commercial banks attended the same workshop held in Chittagong on Wednesday.