Community bankers said cybersecurity and credit risk are their biggest challenges in 2023.
About 85% of the more than 100 respondents polled by the Risk Management Association that they were concerned about cybersecurity, while 84% pointed to credit risk. The survey, conducted last summer, featured executives at banks with $10 billion or less of assets.
Only half of the bankers identified regulatory compliance as their biggest challenge. Roughly 56% of the surveyed bankers said the Current Expected Credit Loss (CECL) accounting rule and cybersecurity are areas where compliance remains difficult, while 53% pointed to small-business data collection rules.
“Community banks continue to face unprecedented risks and extraordinary demands on their time, attention, and resources,” Nancy Foster, the RMA’s president and CEO, said in a released tied to the survey’s findings.