Abstract Book of the 14th International Conference on New Ideas in Management, Economics, and Accounting
Year: 2025
DOI:
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The Effectiveness of Operational Risk Management among the Banking Sector in Afghanistan
Abdul Matin Daqiq
ABSTRACT:
This study assesses the effectiveness of operational risk management in Afghanistan’s banking sector. Five commercial banks, including three private and two public banks in Kabul, were evaluated based on operational risk policies, procedures, and employee awareness. The research involved questionnaires and interviews with 59 participants randomly selected from these banks. Results show that while operational risk management structures exist, their implementation is weak. Employee awareness of risk management principles was found to be insufficient, leading to ineffective risk mitigation strategies. The study provides insights into improving risk management frameworks and highlights areas for further research in operational risk management.
keywords: Afghanistan, banking sector, operational risk management, risk awareness, financial stability