1. PREAMBLE
The Board of Directors of Pawansut Holdings Limited has adopted this policy to establish practices for identifying, assessing, monitoring, and mitigating risks.
This Risk Management Policy aims to minimize adverse impacts on business objectives while enhancing stakeholder value and sustaining long-term competitive advantage.
2. PURPOSE
Framed in line with RBI Master Direction DNBR.PD.008/03.10.119/2016-17 dated September 01, 2016, and amendments.
The policy safeguards human and financial assets without restricting mission-critical activities, supported by effective risk management systems.
3. PRINCIPLES
Risk management must create and protect value.
It must be integrated into organizational processes.
It supports informed decision-making.
It focuses on uncertainties around achieving objectives.
It must be tailored to the business context.
It must be dynamic, iterative, and responsive to change.
4. DEFINITIONS
Board
Board of Directors of the Company
Company
Pawansut Holdings Limited
Directors
Members of the Board
Policy
Risk Management Policy
RBI
Reserve Bank of India
5. POLICY OBJECTIVES
- Continuously identify organizational risks affecting business operations.
- Protect shareholder rights and values through an effective risk management framework.
- Enhance and maintain risk management tools to support strategic and operational decisions.
6. RISK IDENTIFICATION, MEASUREMENT, AND ASSESSMENT
Management, under Board supervision, implements the Risk Management Program and establishes identification processes.
Risks are evaluated using qualitative and quantitative methods based on likelihood and impact, categorized as inherent or residual.
Key Risk Categories: