ECB Orders Banks To Prepare AI Cyber Defense Plans By Oct. 31
By CU Today Staff —
FRANKFURT, Germany—The European Central Bank has given eurozone banks until Oct. 31 to develop plans for countering AI-enabled cyber threats, taking what Reuters described as a more prescriptive approach than other major central banks to the risks posed by increasingly advanced artificial intelligence models.
According to Reuters, the ECB's chief banking supervisor, Claudia Buch, warned bank CEOs that new AI systems have "potentially profound implications" for the confidentiality, integrity and resilience of banks' information and communications technology. She directed institutions to prioritize protection of internet-facing systems and other exposed technology assets, including third-party software and open-source components, while accelerating vulnerability remediation and strengthening cyber monitoring.
Reuters reported Buch also urged banks to modernize aging technology infrastructure, improve basic cyber hygiene and strengthen crisis-management, recovery and information-sharing capabilities. The ECB said banks should submit detailed response plans by the end of October, and to help institutions focus on the effort, it has postponed a separate IT survey and may adjust other supervisory inspections and reviews.
Reuters said the ECB's directive comes as central banks grapple with the cybersecurity implications of rapidly advancing AI models. While the ECB issued specific supervisory expectations for banks, Reuters reported the Federal Reserve System and the Bank of England took a less prescriptive tone in comments Tuesday as regulators assess the risks posed by the latest generation of large language models.
Originally reported by CU Today.