By homing in on a specific theme, DNB wants to achieve several goals at once. First, it wants to give risk managers and reporting officers the opportunity to carefully examine whether the report gives an accurate picture of the current situation. Banks can scrutinise the chosen theme again during internal checks of the reports and when signing off on them. This extra effort will improve the quality of the reports. During the course of 2013, DNB will also ask the banks for more detailed information about special credits management. By specifically focusing on the management of special credits in these first quarterly reports and hence providing an adequate supply of good information, banks can save time down the road.
Fewer questions later on
DNB will be closely monitoring the quality of the information in the reports submitted by banks. If banks supply reliable and mutually comparable information, this will promote communication with the supervisory authority and between the banks themselves. And that means they won’t have to answer as many questions from the supervisor at a later date.