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 […]
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 […]
Sound Practices for Responsible Adoption of Artificial Intelligence (AI) – Consultation Report
As artificial intelligence reshapes financial services — from credit risk assessment and fraud prevention to customer service and trading — the question is no longer whether to adopt it, but how to do so responsibly. The Financial Stability Board (FSB) has released a consultation report proposing 12 sound practices for financial institutions of all types […]
Report on Vulnerabilities in Private Credit
Private credit has grown into a $1.5–2.0 trillion market, expanding well beyond its traditional focus on mid-sized businesses and institutional investors like pension funds and insurers. It is now financing larger companies and increasingly reaching retail investors — but this growth is bringing new risks into focus. The Financial Stability Board’s (FSB) latest report warns […]
In data we trust? Emerging policy and supervisory approaches to AI data use in financial services
FSI Insights No 73 Data play a critical role in the transformation of the financial sector through artificial intelligence (AI). While challenges in data management are not new, they pose significant barriers to the wider adoption of advanced AI systems, such as generative AI (gen AI). Key concerns include data privacy, quality and security, which […]