“At present, there is a need for professionalism and honesty in the banking industry. I know we are going through a difficult period, but it is always worth investing in your profession in order to be more competitive on the labor market. I managed to bring here two globally-renowned certifications,” Petru Rares, president of the Romanian Banking Institute said on Tuesday night at the launch of the two courses.
The analyst or compliance officer is a little-known profession even in the banking industry. Their main responsibility is to verify compliance with the legislation of products developed by the bank, as well as of any banking procedure and of the relationship with clients.
William Howard, president of the International Compliance Association, said Romanian bankers have good local standards, but need an international dimension.
According to him, bankers and regulators’ biggest concern at present are high-risk clients. Howard also said that, in their pursuit of profit, many banking organizations have taken too many risks.
“It has been a culture of greed. We need a new culture, of the profession,” Howard said.
The training program for the position of compliance officer is divided into three levels, and the title of compliance professional is awarded after the third level, which is equivalent to post-graduate studies.
There will also be programs in prevention of money laundering and of financial criminality, also structured into three levels. The compliance department of a large bank employs around 15 compliance experts.
Doru Bulata, executive manager of the Compliance department within BCR, the largest lender in Romania, is one of the few Romanian bankers to have already obtained such a certification, in London.
“This banking profession appeared in the United States in 1968 and was brought to Romania after the privatization of the large banks. A compliance analyst needs to be pragmatic, apply simple solutions to complex situations, identify the risk of legal sanctions and monitor every product launched by the bank to see if it complies with the banking legislation,” says Bulata.
Petru Rares, of the IBR says the prime concern of any banker is to know the legislation.
He says he received approval from Bancpost for a loan to finance these courses in lei, at an interest of 6.5% a year up to the equivalent of EUR10,000 per year over five years.
Simon Thompson, CEO of the Chartered Institute of Bankers in Scotland, says one has to acknowledge the lack of trust in bankers.
“We want to rebuild trust, and do it also through regulations. We need better regulations, structural reforms, but they are not enough to rebuild trust. But one also needs to rebuild trust in individuals, not just in institutions,” Thompson said.
The Romanian Banking Institute will start collaboration with the Chartered Institute of Bankers in Scotland, the world’s oldest banking institute and the only professional banking institute left in the UK.
Chartered Banker MBA targets managers and directors in banks and other financial services organizations.
The Chartered Banker MBA can be obtained after two years. The program is divided into two parts with eight compulsory modules and four optional ones in order to get the 180 credits necessary. Compulsory modules include Risk management in financial institutions, Professional Ethics and Regulation, Research Methods, Human Resources, and Organizational Behavior.
Each Chartered Banker module costs GBP1,395.
(English version by Daniela Stoican)