Global Association of Risk Professionals (GARP) Caribbean Chapter committee member and JMMB Group Chief Risk Officer, Damion Brown says a credit crisis is unlikely for T&T.
Speaking at a panel discussion on Prescriptions for Business Banking Relationships–Adjusting to the New Economic Reality, hosted by GARP Caribbean Chapter with presentations by the JMMB Group, Brown explained that credit quality in T&T is expected to deteriorate but will not be affected by asset bubbles.
He did, however, note that there were several challenges currently facing T&T's economy, including a recent reduction in oil prices and pressures in the foreign market, which could negatively impact local businesses. In fact, Brown suggested that among other concerns, these challenges would lead to a notable reduction in cash flow as well as a reduction in margins due to competitors facing financial difficulty.
GARP is the world's leading professional association for risk practitioners and administers the Financial Risk Manager (FRM) designation, the globally recognised standard for financial risk practitioners. It is a pre-eminent source of information, discussion and analysis of risk related matters. Its mission is to advance the risk profession through education, training, and the promotion of best practices globally. As part of the organisation's commitment to deliver financial risk management advice through strategic stakeholder engagement GARP, together with presentations by JMMB Group, brought together local business owners and stakeholders for meaningful and enlightening dialogue that sought to provide them with solutions to some of their more pressing financial business challenges.
The panel was moderated by Dereck Rajack, FRM chief risk officer JMMB Bank also a GARP member. Brown, Devati Mooledhar, general manager Corporate Banking and Capital Markets at JMMB Bank and Gary Kalliecharan managing director, Pegasus Services Limited, were also part of the panel.
The team offered key insights to the many business banking and risk related questions that were posed to assist participants in surviving the current financial environment. Some of the recommendations included the sale or monetisation of non-core assets, the raising of capital to improve business resilience and consolidation within industries.