What are the three lines of defense?

The three lines of defense are preventive risk management, deposit insurance system and emergency rescue system. It is an internal check and balance and supervision mechanism set up by commercial banks to prevent internal risks. The deviation and deviation of various activities from the established goals in enterprise management always exist and are everywhere.

The economic and financial situation is changing, the business risks of commercial banks are becoming increasingly complex and diverse, and the pressure of case prevention and control is increasing. Setting up internal control defense line has become an objective need for commercial banks to achieve enterprise goals and strengthen internal control management. Its purpose is to ensure that business management is carried out as planned and correct all kinds of important deviations in time, prevent and control risks, curb fraud and put an end to cases.