OSFI has set out the schedule for release of draft guidance on the management of technology risks by federally regulated financial institutions and private pension plans. This follows an OSFI discussion paper on a range of technology risk areas such as cyber security, advanced analytics, and third-party technology ecosystem. The feedback period on the paper ended on December 15, 2020, with respondents expressing broad support for emerging principles-based and technology-neutral perspectives on technology risk management.
In the feedback, the respondents indicated that OSFI should first leverage its existing guidance and align any additional guidance with existing international and information technology standards. In light of the feedback received on the discussion paper, OSFI plans to release draft guidance and industry letters as per the following schedule:
- OSFI plans to publish an industry letter on operational resilience and a new draft guideline on technology and cyber risk in the third and fourth quarters of 2021, respectively.
- In the first quarter of 2022, OSFI plans to publish a draft of the revised guideline on third-party risk and an industry letter on advanced analytics and model risk.
- In 2022-23, OSFI plans to publish the revised Guideline E-21 on operational risk management and the revised guidance on model risk.
Keywords: Americas, Canada, Banking, Insurance, Technology Risk, Operational Risk, Operational Resilience, Third-Party Risk, Cyber Risk, Regtech, OSFI
Next ArticleEBA Publishes Phase 1 of Reporting Framework 3.1
The Board of Governors of the Federal Reserve System (FED) adopted the final rule on Adjustable Interest Rate (LIBOR) Act.
The European Central Bank (ECB) published an updated list of supervised entities, a report on the supervision of less significant institutions (LSIs), a statement on macro-prudential policy.
The Hong Kong Monetary Authority (HKMA) published a circular on the prudential treatment of crypto-asset exposures, an update on the status of transition to new interest rate benchmarks.
The European Commission (EC) adopted the standards addressing supervisory reporting of risk concentrations and intra-group transactions, benchmarking of internal approaches, and authorization of credit institutions.
The China Banking and Insurance Regulatory Commission (CBIRC) issued rules to manage the risk of off-balance sheet business of commercial banks and rules on corporate governance of financial institutions.
The Hong Kong Monetary Authority (HKMA) made announcements to address sustainability issues in the financial sector.
The European Banking Authority (EBA) published regulatory standards on identification of a group of connected clients (GCC) as well as updated the lists of identified financial conglomerates.
The General Board of the European Systemic Risk Board (ESRB), at its December meeting, issued an updated risk assessment via the quarterly risk dashboard and held discussions on key policy priorities to address the systemic risks in the European Union.
The Financial Conduct Authority (FCA) is seeking comments, until December 21, 2022, on the draft guidance for firms to support existing mortgage borrowers.
The Financial Stability Board (FSB) published a report that assesses progress on the transition from the Interbank Offered Rates, or IBORs, to overnight risk-free rates as well as a report that assesses global trends in the non-bank financial intermediation (NBFI) sector.