A public defense session for the Master’s thesis submitted by researcher Abdulrahman Abduh Ghalib Abdulwahab was held on Tuesday, June 30, 2026, at 4:30 p.m. at the headquarters of the Arab Academy for Management, Banking, and Financial Sciences, on the fourth floor, Hall No. (5). The thesis was submitted as part of the Master’s Program in the Department of Financial Management and was entitled:

“The Impact of Internal Control on Financial Risk Management: A Field Study of Banks Operating in Marib Governorate”

During the session, the researcher presented the research problem, objectives, significance, theoretical framework, and methodology adopted, along with the key findings and recommendations concerning the role of internal control in enhancing the efficiency of financial risk management in the banking sector.

The study examined the impact of the internal control system through its three dimensions—control environment, risk assessment, and control activities—on financial risk management through its two dimensions: operational risk and credit risk, based on a field study of banks operating in Marib Governorate.

The researcher adopted the descriptive-analytical approach, conducting a field survey covering 13 banks, with a study population of 166 employees. The final valid sample for analysis consisted of 132 questionnaires. The data were analyzed using Structural Equation Modeling (SEM) through SmartPLS.

The findings demonstrated a strong positive effect of the internal control system in enhancing the efficiency of financial risk management. The results also confirmed the impact of risk assessment and control activities in reducing operational and credit risks. Furthermore, the findings showed that the control environment contributed to reducing operational risk, while its effect on credit risk was not statistically significant.

The study recommended improving the efficiency of the internal control environment, developing control policies and procedures, continuously updating risk assessment systems, and strengthening controls related to assessing customers’ creditworthiness. It also recommended enhancing cooperation among banks operating in the governorate, including exploring the possibility of establishing a unified database for defaulting customers.

The Thesis Examination Committee consisted of:

• Assoc. Prof. Dr. Tariq Ahmed Abduh Al-Jamaei – Chair and Supervisor.
• Dr. Mujahid Ali Ali Omran – External Examiner and Committee Member.
• Dr. Hameed Abdulkhaliq Hassan Al-Wasabi – Internal Examiner and Committee Member.

At the conclusion of the session, following the academic discussion, the committee announced its acceptance of the thesis and recommended awarding researcher Abdulrahman Abduh Ghalib Abdulwahab a Master’s degree in Financial Management, subject to incorporating the proposed amendments. The committee also wished him continued success and achievement in his academic and professional career.