The European Supervisory Authorities (EBA, EIOPA, ESMA) issued a statement urging enhanced governance and supervision to mitigate ICT risks from frontier AI models in the EU financial sector.
The European Supervisory Authorities (EBA, EIOPA, and ESMA) published a statement calling for a cross-sectoral, risk-based, and consistent supervisory approach to mitigate ICT risks arising from frontier AI models.
The statement considers existing regulatory requirements, the European Commission’s Action Plan on Cybersecurity and Artificial Intelligence, and recent publications by the European Systemic Risk Board (ESRB), ENISA, the Single Supervisory Mechanism (SSM), and other authorities.
Measures are outlined to help financial entities strengthen operational resilience against cyber risks linked to frontier AI models. Emphasis is placed on prevention, detection, and management of these risks.
The authorities highlight that financial entities should have robust governance and risk management frameworks to effectively manage cyber risks associated with frontier AI models. The statement also provides updates on ongoing and planned DORA oversight activities for critical ICT third-party providers (CTPPs).
Both financial entities and competent authorities are encouraged to use the statement as a basis for supervisory dialogue, aligning with existing supervisory expectations. This approach aims to ensure the resilience of the EU financial system against risks driven by frontier AI technologies.
