Attijariwafa bank adheres to professional, regulatory and

international standards, as well as those recommended by

the supervisory authorities. The Group has consolidated its

risk management system by extending the risk assessment

approach to its subsidiaries and integrating it operatively,

especially in the strategic planning process.

Operational risk mapping is updated periodically. During 2023,

the system was extended to the subsidiaries through the

widespread deployment of specific tools.

Moreover, the Group has invested a great deal of effort in

strengthening the system for reporting incidents, to ensure

that the information provided is complete and of the highest

quality.

Major progress has also been made on the Business Continuity

Plan (BCP), including:

PSI (Plan de Secours Informatique) test;

Implementation of Trading Room and Custody BCP;

Completion of BCPs in six subsidiaries;

Participation in a cyber attack simulation conducted

by Bank Al Maghrib;

Optimisation of insurance policies.

In the year under review, the Group was at the forefront of risk

management tools with the implementation of new scoring

models. The focus was on increasing the value of entrepreneurship

and the independent professions. Adjustments were made to

meet the requirements of IFRS9, while a review of the rating

model was undertaken to ensure its relevance and effectiveness

Consistent with this dynamic further steps have been taken

to extend the rating to the Groups major subsidiaries

A STEADY RISK MANAGEMENT

STRENGTHENING

AN ENHANCED SET OF COUNTERPARTY RISK

INDICATORS

A ROBUST RISK MANAGEMENT SYSTEM

AN ACCELERATION OF DIGITALIZATION AND

A REFINEMENT STRUCTURE

A STRENGTHENED OPERATIONAL RISK

AND PCA SYSTEM

The resilience of the risk function has been strengthened through

anchoring the rating approach, implementing an advanced credit

approval system and rigorously managing counterparty risk. In

doing so, the Group proves its dedication to an accurat assessing

of possible risks and ensuring greater stability.

Proactive management has led to a significant reduction in the

number of counterparties on critical watch lists, underlining the

effectiveness of these strategies. At the same time, diligent

management and effective recovery policies have contributed

to a significant decrease in the number of companies on the

Watch List 2 and Weak List.

By reducing risk the Group has also achieved a significant

improvement in capital and revenue recoveries thereby

strengthening its financial position

Digitalization has been integrated into all processes at the

Group. With the ongoing completion of its credit management

division and the launch of the instruction project, as well as

the digitalization of overdraft requests, the overhaul of the

credit chain began in 2023. There has also been an improvement

with regard to the extent of the collection chain automation.

Annual report

Attijariwafa bank

51

2023

The effectiveness of these

strategies is demonstrated

by a significant reduction

in risk exposure