## 📈 Commercial Bank Signals Stability Through Prudent Risk Philosophy

Commercial Bank of Ceylon PLC has reaffirmed its commitment to a conservative yet adaptive risk management framework, positioning it as a cornerstone for long-term resilience amid economic volatility. • Core Strategy The bank operates on a "prudent risk profile," which emphasizes disciplined underwriting and forward-looking assessments rather than risk avoidance. This approach integrates risk management into active decision-making rather than treating it as a back-end function. • Credit Risk & Asset Quality • Credit Risk Management: Central to stability, the bank uses a "Michelin-starred" approach—blending quantitative science with qualitative judgment. • Early Warning Signals: Employs predictive analytics to detect borrower stress early, preventing a rise in non-performing exposures. • Portfolio Growth: Achieved growth exceeding industry averages while simultaneously improving asset quality through transparent, objective underwriting. • Modernization & Innovation • Data-Driven Lending: Leverages advanced analytics and internal risk models while maintaining "Human in the Loop" governance. • Stress Testing: Regular assessments of interest rates, exchange rates, and GDP fluctuations inform strategic capital allocation. • Cybersecurity: Proactively strengthens data governance and incident-response protocols to match the rapid digitalization of banking services. • Sustainability & Ethics The bank has embedded Environmental, Social, and Governance (ESG) factors and conduct risk frameworks into its operations, treating ethical integrity as a fundamental obligation to maintain stakeholder trust.