251Obligation to prepare statement of financial risk management

1. The Bank must—

2. prepare and keep up to date a statement of financial risk management; and
3. publish a copy of the current statement on an Internet site maintained by, or on behalf of, the Bank.

4. A statement under this section must—

5. set out—
   1. the board’s approach to complying with its duty under section 47; and
   2. information about how the board has complied with that duty during the most recently completed financial year; and
6. set out the Bank’s approach to financial risk management, including—
   1. its approach to complying with any direction given under section 208; and
   2. all other information that is necessary to allow an assessment of how the Bank manages financial risks that may impact on its ability to perform its functions; and
7. set out information about how the Bank has complied with any direction given under section 208 during the most recently completed financial year; and
8. identify the significant financial risks that—
   1. the Bank was exposed to at any time during the most recently completed financial year (including identifying the impact of those risks on the Bank’s statement of financial position for that financial year); and
   2. the Bank is currently exposed to; and
   3. the Bank expects it will be exposed to over the medium term; and
9. include a statement of principles—
   1. in accordance with which the Bank will make a recommendation under section 213 (which relates to the determination of the Bank’s annual dividend); and
   2. that the Minister must have regard to under that section; and
10. contain all other information reasonably required by the Minister.

11. The principles under subsection (2)(e) must be as agreed by the Minister and the Bank under section 252.