The COVID-19 pandemic has compelled financial institutions to be a significant part of the solution rather than being a part of the problem as happened during the previous financial turmoil. Allocating capital to the real economy to keep businesses and livelihoods of individuals afloat till they reach a safe shore is a key role expected from financial entities at this critical juncture. They are also required to devise innovative business strategies to provide seamless services to customers using technological infrastructures during this extremely challenging period. This is a time financial institution are expected to revisit their institutional purposes. This is a time financial systemic resilience and market integrity need to be safeguarded by the players in the system without frequent directions from regulators. The pandemic has taught us that businesses, individuals, financial entities, economy, society and environment are closely interconnected elements of a one large fabric. Therefore, every stakeholder needs to understand the mutually reinforcing possibilities for each other.In the context of rapidly evolving challenges, imposing regulations applicable to every transaction, every market innovation and every business scenario will have practical difficulties. This will increase the regulatory burden and the pressure to promote a culture of compliance with the letter of law on the part of financial institutions. Eventually, taking business decisions during crisis periods in compliance with applicable rules and regulations will be in the hands of Boards of Directors (BODs) and Key Management Personnel (KMP) of such institutions. Their fitness and propriety to hold such positions should, therefore, be a foremost requirement which needs to be emphasized in any given circumstance. It assumes even greater importance in times of crisis. No amount of regulations will ensure that public deposits are safe unless the decisions pertaining to management of such money are taken by individuals who are honest, well-qualified and experienced acting with integrity. It is not only robust systems and procedures but also the quality and competence of individuals that have a huge impact on effective governance in financial firms. This article sheds light on the significance of efficient enforcement of regulations applicable to fitness and propriety of BODs and KMP of financial institutions in order to have robust risk governance structures during a crisis like the COVID-19 outbreak.