For comprehensive risk and compliance management, MCB has defined 5 major risks namely; Credit Risk, Operations Risk, Market & Liquidity Risk, IT & Cyber Risk, and Compliance Risk. Accordingly, five different Risk and Compliance Management Departments/ Units: Credit Risk Management Unit, Operations Risk Management Unit, Market & Liquidity Risk Management Unit, IT & Cyber Risk Management Units, and Compliance and Governance Department under the Integrated Risk and Compliance Department (IRCD). This department is headed by the Chief Risk and Compliance Officer (CRCO) of the Integrated Risk and Compliance Department. Its core functions include identifying, monitoring/ reviewing/ assessing/ analyzing, and measuring risks in respective areas, as well as advising on control measures and mitigations to minimize the bank’s overall risk exposure for several management of risks. MCB adheres strictly to internal policies, regulations issued by the Central Bank of Myanmar (CBM), several local laws, and internationally accepted prudent risk management practices. To prevent conflicts of interest and ensure the independence of Risk and Compliance Managers/ Integrated Risk and Compliance Departments (IRCD), as per the prudent risk management practice, all the Risk Unit Heads report to CRCO, who in turn reposts directly to the Board Integrated Risk and Compliance Committee (BIRCC). The CRCO and/or Risk and Compliance Managers also maintain a dotted-line functional relationship with the Chief Executive Officer (CEO), Senior Management, and/or other HODs. Direct reporting by the CRCO to the board-level committee helps prevent conflicts of interest and/or undue intervention or negative influence, allowing the IRCD to freely and independently report potential risk events to the BIRCC, thereby ensuring its operational independence. Furthermore, the BOD shall have oversight of all the integrated risk and compliance management functions, risk reporting, possible risk events, and risk mitigation/control activities through BIRCC.