EBA Guidelines on the sound management of third-party risk regarding non-ICT services
How can supervisors ensure sound third-party risk management without placing disproportionate burdens on institutions and supervisors alike? The European Banking Authority (EBA) has published its final Guidelines on the management of third-party risk, part of its ongoing effort to simplify and strengthen the EU regulatory framework. The Guidelines focus on third-party arrangements supporting critical or […]
When Machines Attack: Frontier AI Cyber Threats and Policy Responses in the Financial Sector
FSI Occasional Paper No. 28 Frontier AI models can autonomously identify vulnerabilities and conduct sophisticated cyberattacks — but does that require a new regulatory framework, or a faster execution of existing ones? The Financial Stability Institute (FSI) of the Bank for International Settlements (BIS) has published FSI Occasional Paper No. 28, examining how frontier AI is transforming […]
Cyber Risk and Bank Supervision: Lessons from the ECB Cyber Stress Test
SUERF Policy Brief Can supervisory scrutiny alone — without capital charges or public disclosure — shift bank behaviour on cybersecurity investment? This SUERF Policy Brief, based on an ECB Working Paper, examines whether the ECB’s 2024 Cyber Resilience Stress Test (CyRST) induced banks to increase cybersecurity investment. Cybersecurity has become a central financial stability concern: […]
2026 Geopolitical Risk Reverse Stress Test: Final Results
How prepared are euro area banks to identify and withstand geopolitical shocks that could threaten their capital positions? The European Central Bank (ECB) has published the results of its 2026 thematic reverse stress test on geopolitical risks, covering 110 euro area banks under direct ECB supervision. The exercise — part of the ECB’s supervisory priorities […]
Revised Guidelines on Common Procedures and Methodologies for the Supervisory Review and Evaluation Process (SREP) and Supervisory Stress Testing
How can supervisory frameworks become more risk-focused, proportionate, and efficient — without losing coherence or effectiveness? The European Banking Authority (EBA) has published its final revised Guidelines on common procedures and methodologies for the Supervisory Review and Evaluation Process (SREP) and supervisory stress testing, a core deliverable of its regulatory simplification and efficiency agenda. The […]