SRE has a Risk Management Policy approved by the Council of the company. Its aim is to ensure a unified and harmonised approach to risk management of SJSC “State Real Estate” - risk identification, risk assessment, implementation of risk mitigation and control measures, risk reporting, risk process monitoring and control, as well as to define the duties and responsibilities of risk management units and employees involved in the risk management process.
Risk management is based on the principle of “Three lines of defence”. It is an internationally recognised good practice in risk management, where an organisation's risk management is conditionally divided into three lines of defence: primary risk management (first line of defence), risk management process monitoring and control (second line of defence) and independent assurance/internal audit (third line of defence).
Risk management is implemented taking into account the fact that: