APRA Consults on First Prudential Standard for Tackling Cyber Attacks
APRA has responded to the growing threat of cyber attacks by proposing its first prudential standard on information security, known as CPS 234. APRA released a package of measures, titled “Information Security Management: A new cross-industry prudential standard,” for industry consultation. The package is aimed at shoring up the ability of APRA-regulated entities to repel cyber adversaries, or respond swiftly and effectively in the event of a breach. Comment period is open until June 07, 2018.
Key areas where APRA is hoping to lift standards include assurance over the cyber capabilities of third parties such as service providers and enhancing entities’ ability to respond to, and recover from, cyber incidents. APRA proposes to apply this standard authorized deposit-taking institutions, general insurers, life insurers, private health insurers, licensees of registrable superannuation entities (RSE licensees), and authorized or registered non-operating holding companies. APRA intends to finalize the proposed standard toward the end of the year, with a view to implementing CPS 234 from July 01 next year. The proposed new standard, CPS 234, would require regulated entities to:
- Clearly define the information security-related roles and responsibilities of the board, senior management, governing bodies, and individuals
- Maintain information security capability commensurate with the size and extent of threats to information assets and which enables the continued sound operation of the entity
- Implement information security controls to protect its information assets and undertake systematic testing and assurance regarding the effectiveness of those controls
- Have robust mechanisms in place to detect and respond to information security incidents in a timely manner
- Notify APRA of material information security incidents
Related Links
Comment Due Date: June 07, 2018
Keywords: Asia Pacific, Australia, Banking, Insurance, CPS 234, Cyber Risk, Prudential Standard, APRA
Previous Article
ECB Updates Q&A on AnaCredit Regulation in June 2018Related Articles
BIS and Central Banks Experiment with GenAI to Assess Climate Risks
A recent report from the Bank for International Settlements (BIS) Innovation Hub details Project Gaia, a collaboration between the BIS Innovation Hub Eurosystem Center and certain central banks in Europe
Nearly 25% G-SIBs Commit to Adopting TNFD Nature-Related Disclosures
Nature-related risks are increasing in severity and frequency, affecting businesses, capital providers, financial systems, and economies.
Singapore to Mandate Climate Disclosures from FY2025
Singapore recently took a significant step toward turning climate ambition into action, with the introduction of mandatory climate-related disclosures for listed and large non-listed companies
SEC Finalizes Climate-Related Disclosures Rule
The U.S. Securities and Exchange Commission (SEC) has finalized the long-awaited rule that mandates climate-related disclosures for domestic and foreign publicly listed companies in the U.S.
EBA Proposes Standards Related to Standardized Credit Risk Approach
The European Banking Authority (EBA) has been taking significant steps toward implementing the Basel III framework and strengthening the regulatory framework for credit institutions in the EU
US Regulators Release Stress Test Scenarios for Banks
The U.S. regulators recently released baseline and severely adverse scenarios, along with other details, for stress testing the banks in 2024. The relevant U.S. banking regulators are the Federal Reserve Bank (FED), the Federal Deposit Insurance Corporation (FDIC), and the Office of the Comptroller of the Currency (OCC).
Asian Governments Aim for Interoperability in AI Governance Frameworks
The regulatory landscape for artificial intelligence (AI), including the generative kind, is evolving rapidly, with governments and regulators aiming to address the challenges and opportunities presented by this transformative technology.
EBA Proposes Operational Risk Standards Under Final Basel III Package
The European Union (EU) has been working on the final elements of Basel III standards, with endorsement of the Banking Package and the publication of the European Banking Authority (EBA) roadmap on Basel III implementation in December 2023.
EFRAG Proposes XBRL Taxonomy and Standard for Listed SMEs Under ESRS
The European Financial Reporting Advisory Group (EFRAG), which plays a crucial role in shaping corporate reporting standards in European Union (EU), is seeking comments, until May 21, 2024, on the Exposure Draft ESRS for listed SMEs.
ECB to Expand Climate Change Work in 2024-2025
Banking regulators worldwide are increasingly focusing on addressing, monitoring, and supervising the institutions' exposure to climate and environmental risks.
