Financial Statements - United Bank Limited

U N I T E D B A N K L I M I T E D
The Market & Treasury Risk function, under the supervision of the Market Risk Committee is
responsible for estimating, monitoring and reporting market risk inherent in on & off balance
sheet exposures of the Bank. They also monitor and proactively seek to improve the effective
implementation of the market risk management policy. Sensitivity and scenario analyses are
routinely employed to assess the potential risk of proposed as well as existing investments.
Building on the initiatives taken last year, focus continues towards developing greater reliance
on quantitative methods, improved limit setting and review mechanism of exposures. Steps
were also taken to establish a mechanism for liquidity risk monitoring in line with guidelines
provided by the SBP and Basel III. The completion of the Sierra Treasury Management System
rollout in 2013 will significantly strengthen the Treasury monitoring function.
Meanwhile, the International Market Risk function continues to work closely with International
Treasury to manage the Market and Treasury risk effectively. For effective liquidity risk
management, they routinely do stress testing, scenario analysis, contingency funding plans and
compute Basel III liquidity ratios.
With an improved environment in countries within the UBL International umbrella, wholesale
banking yielded favorable results while remaining within acceptable risk parameters. The Risk
function also worked closely with the Financial Institutions group, providing country analysis to
support expansion into new non-presence markets and products.
Auditors
The present auditors M/S. BDO Ebrahim & Co., Chartered Accountants, retire and, being
eligible, offer themselves for re-appointment in the forthcoming Annual General Meeting. M/s.
Ernst & Young Ford Rhodes Sidat Hyder, Chartered Accountants, retire and in pursuance of the
Code of Corporate Governance become ineligible for re-appointment having completed a term
of five years.
The Board of Directors, on the recommendation of the Board Audit Committee, recommends
M/s. BDO Ebrahim & Co., Chartered Accountants, for re-appointment and M/s. KPMG Taseer
Hadi & Co, Chartered Accountants., as auditors of the Bank in place of M/s. Ernst & Young Ford
Rhodes Sidat Hyder, Chartered Accountants.