Location Washington, DC
Recruitment Type International Hire
Language Requirement English [Essential]
Closing Date 23-May-2016
Background / General description
The Chief Risk Officer (CRO) Vice Presidency of the World Bank is the core unit responsible for institutional risk oversight, including establishment and monitoring adherence to risk policies and guidelines and risk assessment and reporting to the Board and executive management. Its mission is to enable and support the institution to achieve its goals in a financially sustainable manner. The VPU assists management with identifying and managing Group-wide cross-cutting risks, enhancing risk response decisions, reducing financial and operational surprises and losses, seizing opportunities and improving deployment of capital. The CRO Vice Presidency comprises three Departments: 1) Credit Risk (CROCR); 2) Market & Counterparty Risk (CROMC), and 3) Operational Risk (CROOR).
The Credit Risk Department (CROCR) ensures that the Bank’s credit risk exposure is commensurate with the risk appetite of stakeholders and strikes the appropriate balance between financial and development objectives. CROCR manages the credit risk inherent in IBRD’s loan portfolio. CROCR’s core functions include, among others (i) Assessing and rating country credit risk for all IBRD borrowers; (ii) Assessing country eligibility for IBRD resources; (iii) Influencing IBRD’s lending strategy and assessing lending plans against lending allocations as established through the exposure management framework: (iv) Anticipating countries that are vulnerable to crises; (v) Participating in arrears workouts for IBRD borrowing countries; (vi) Engaging with the Paris Club of bilateral creditors; and (vii) Ensuring IBRD is adequately for loan losses; and (viii) Assessing/Monitoring the size of credit shocks (unexpected losses) as part of IBRD’s capital adequacy framework.
The Market & Counterparty Risk Directorate (CROMC) focuses on oversight of risk in three areas: 1) Market Risk, which covers ALM, interest rate, spread (funding and investments) and FX risk, and the availability/cost of or access to ready liquidity and long-term funding; 2) Commercial (i.e. not sovereign lending) Credit Risk, which includes risks to IBRD resulting from changes in creditworthiness of IBRD’s commercial counterparties; and 3) Model Risk, which covers financial risk models in IBRD in terms of model governance.