Fidelity Bank’s CRO advocates for integrated risk management and innovation

Dr. David Animante, Chief Risk Officer of Fidelity Bank Ghana, delivered powerful insights on the importance of enterprise risk management and the evolving role of banks in a digital world at the 28th National Banking and Ethics Conference, organized by the Chartered Institute of Bankers Ghana.

Speaking on a panel titled ‘Navigating Horizon Risks: Strategies for Financial Institutions’, Dr. Animante discussed the future of risk management, the challenges of digital innovation, and Fidelity Bank’s commitment to ethical and sustainable banking.

In his remarks, Dr. Animante emphasized the critical need for enterprise risk management (ERM) as a response to an increasingly complex financial landscape.

“The era of managing risks in silos is long gone,” he stated, stressing that a siloed approach no longer meets the demands of today’s multifaceted risk environment. Instead, he advocated for a comprehensive, integrated approach.

Fidelity Bank, he explained, follows a ‘three-lines-of-defense’ model, which integrates all levels of the bank, from frontline staff who handle client interactions, to the risk management team setting bank-wide standards, to internal audit, which assesses compliance after the fact.

According to Dr. Animante, this model provides diversification benefits, enabling Fidelity Bank to manage varied risks, from credit and interest rate risks to operational and cyber risks—more efficiently. By consolidating these risks, he said, banks can reduce overall risk exposure and manage them at a lower cost.

“This integrated system ensures that any residual risk is minimized and better controlled, making risk management not only more effective but also more cost-efficient,” he noted.

Dr. Animante also addressed the transformative shift in banking driven by digital innovation, emphasizing the imperative for banks to keep pace with the digital disruption led by fintech and telecommunications companies.

“The traditional model of banking is disappearing,” he explained, pointing to the emergence of digital wallets, QR codes, and point-of-sale systems as tools Fidelity Bank has invested in to meet evolving customer expectations. He highlighted the bank’s substantial investment in digital platforms to enhance customer experience and stay competitive.

However, Dr. Animante cautioned that digital innovation introduces new risks, particularly in cybersecurity. “With more transactions happening digitally, the threat of cybercrime is high,” he said.

He reassured attendees that Fidelity Bank has made significant strides in cybersecurity, adhering to global standards such as ISO 27001, NIST and GDPR to safeguard clients’ data and funds. “Our cybersecurity infrastructure is robust, and we are committed to ensuring the security of our customers’ information,” he added.

Fidelity Bank’s approach to ethical banking was another focal point of Dr. Animante’s discussion. He highlighted Fidelity Bank’s commitment to environmental, social, and governance (ESG) standards, which are woven into the bank’s core operations.

The bank has set policies to ensure that it only accepts deposits from ethically responsible sources, a stance that is particularly relevant given Ghana’s struggle with environmental degradation due to small-scale mining.

“Environmental responsibility is fundamental to us,” Dr. Animante stated. “We rigorously vet the origins of deposits and remain committed to sustainability and responsible business practices. Anti-money laundering policies are strictly enforced to ensure that we are only supporting businesses aligned with our ethical values.”

He also highlighted the bank’s ongoing sustainability initiatives and KPIs designed to hold employees accountable for ethical conduct. These efforts have positioned Fidelity Bank as a leader in sustainable banking in Ghana.

Dr. Animante’s insights underline Fidelity Bank’s forward-thinking approach in an era of rapid change, showcasing the bank’s commitment to robust risk management, customer-centric innovation, and ethical, sustainable banking. His remarks underscore Fidelity Bank’s ongoing efforts to evolve alongside its customers, meet regulatory demands, and set new standards in Ghana’s financial landscape.

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