The Financial Supervisory Authority of Norway published an inspection report finding that Sparebanken Norge has governance bodies, frameworks and processes suited to its business, but its new risk management framework was only partly implemented. The review focused on risk appetite, risk reporting and board oversight of executive management. The authority called for the risk appetite framework to cover business risk, profitability, capital adequacy and aggregate ownership risk, with more granular limits for key business units. It also urged the bank to strengthen scenario analysis and stress testing, improve independent reporting on information and communications technology risk, involve the compliance function more fully and expand the scope of internal audit. Other recommendations include reviewing the chief financial officer’s broad span of responsibilities and formalizing board development plans. The board agreed with the findings and is implementing measures to address them.
2026-09-23Norwegian Finanstilsynet
Financial Supervisory Authority of Norway calls for improvements to Sparebanken Norge’s partly implemented risk management framework
The Financial Supervisory Authority of Norway found that Sparebanken Norge’s governance arrangements are suited to its business, but its new risk management framework was only partly implemented. It called for broader risk coverage, stronger scenario analysis and stress testing, more independent risk reporting and an expanded internal audit function. The bank is implementing corrective measures.