Regulating and supervising ICT risk in the financial sector

Abstract

In a dynamic financial world, regulation and supervision must be easily adaptable to remain effective. The development of business models which are largely based on technology as well as the digitisation and digitalisation of financial services have created new challenges for financial supervision. The financial system has become more reliant on ICT infrastructures and the confidentiality, integrity and availability of data and systems. Developments in this field are constantly challenging the status quo and, at times, required and still require a quantum leap in the regulatory framework, and the knowledge, tools and systems adopted for financial supervision. In this regard, cyber risk is considered of systemic relevance[1] and must be properly addressed. [excerpt]