Central Bank Risk Management Fintech And Cybersecurity

Author : Mr. Ashraf Khan,Majid Malaika
Publisher : International Monetary Fund
Page : 75 pages
File Size : 51,8 Mb
Release : 2021-04-23
Category : Business & Economics
ISBN : 9781513582344

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Central Bank Risk Management, Fintech, and Cybersecurity by Mr. Ashraf Khan,Majid Malaika Pdf

Based on technical assistance to central banks by the IMF’s Monetary and Capital Markets Department and Information Technology Department, this paper examines fintech and the related area of cybersecurity from the perspective of central bank risk management. The paper draws on findings from the IMF Article IV Database, selected FSAP and country cases, and gives examples of central bank risks related to fintech and cybersecurity. The paper highlights that fintech- and cybersecurity-related risks for central banks should be addressed by operationalizing sound internal risk management by establishing and strengthening an integrated risk management approach throughout the organization, including a dedicated risk management unit, ongoing sensitizing and training of Board members and staff, clear reporting lines, assessing cyber resilience and security posture, and tying risk management into strategic planning.. Given the fast-evolving nature of such risks, central banks could make use of timely and regular inputs from external experts.

Author : Ashraf Khan
Publisher : International Monetary Fund
Page : 51 pages
File Size : 40,8 Mb
Release : 2016-02-23
Category : Business & Economics
ISBN : 9781498376051

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Central Bank Governance and the Role of Nonfinancial Risk Management by Ashraf Khan Pdf

This paper argues that nonfinancial risk management is an essential element of good governance of central banks. It provides a funnelled analysis, on the basis of selected literature, by (i) presenting an outline of central bank governance in general; (ii) zooming in on internal governance and organization issues of central banks; (iii) highlighting the main issues with nonfinancial risk management; and (iv) ending with recommendations for future work. It shows how attention for nonfinancial risk management has been growing, and how this has amplified the call for better governance of central banks. It stresses that in the area of nonfinancial risk management there are no crucial differences between commercial and central banks: both have people, processes, procedures, and structures. It highlights policy areas to be explored.

Author : Frank Adelmann,Ms. Jennifer A. Elliott,Ibrahim Ergen,Tamas Gaidosch,Nigel Jenkinson,Mr. Tanai Khiaonarong,Anastasiia Morozova,Nadine Schwarz,Christopher Wilson
Publisher : International Monetary Fund
Page : 32 pages
File Size : 50,8 Mb
Release : 2020-12-07
Category : Business & Economics
ISBN : 9781513512297

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Cyber Risk and Financial Stability by Frank Adelmann,Ms. Jennifer A. Elliott,Ibrahim Ergen,Tamas Gaidosch,Nigel Jenkinson,Mr. Tanai Khiaonarong,Anastasiia Morozova,Nadine Schwarz,Christopher Wilson Pdf

The ability of attackers to undermine, disrupt and disable information and communication technology systems used by financial institutions is a threat to financial stability and one that requires additional attention.

Author : Sebastian Dörr,Leonardo Gambacorta,Thomas Leach,Bertrand Legros,David Whyte
Publisher : Unknown
Page : 0 pages
File Size : 43,9 Mb
Release : 2022
Category : Banks and banking, Central
ISBN : OCLC:1344473974

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Cyber Risk in Central Banking by Sebastian Dörr,Leonardo Gambacorta,Thomas Leach,Bertrand Legros,David Whyte Pdf

"The rising number of cyber attacks in the financial sector poses a threat to financial stability and makes cyber risk a key concern for policy makers. This paper presents the results of a survey among members of the Global Cyber Resilience Group on cyber risk and its challenges for central banks. The survey reveals that central banks have notably increased their cyber security-related investments since 2020, giving technical security control and resiliency priority. Central banks see phishing and social engineering as the most common methods of attack, and the potential losses from a systemically relevant cyber attack are deemed to be large, especially if the target is a big tech providing critical cloud infrastructures. Generally, respondents judge the preparedness of the financial sector for cyber attacks to be inadequate. While central banks in most emerging market economies provide a framework for the collection of information on cyber attacks on financial institutions, less than half of those in advanced economies do. Cooperation among public authorities, especially in the international context, could improve central banks’ ability to respond to cyber attacks."--Abstract.

Author : Antoine Bouveret
Publisher : International Monetary Fund
Page : 29 pages
File Size : 41,5 Mb
Release : 2018-06-22
Category : Business & Economics
ISBN : 9781484352564

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Cyber Risk for the Financial Sector: A Framework for Quantitative Assessment by Antoine Bouveret Pdf

Cyber risk has emerged as a key threat to financial stability, following recent attacks on financial institutions. This paper presents a novel documentation of cyber risk around the world for financial institutions by analyzing the different types of cyber incidents (data breaches, fraud and business disruption) and identifying patterns using a variety of datasets. The other novel contribution that is outlined is a quantitative framework to assess cyber risk for the financial sector. The framework draws on a standard VaR type framework used to assess various types of stability risk and can be easily applied at the individual country level. The framework is applied in this paper to the available cross-country data and yields illustrative aggregated losses for the financial sector in the sample across a variety of scenarios ranging from 10 to 30 percent of net income.

Author : Elie Chamoun,Nicolas Denewet,Antonio Manzanera,Sanjeev Matai
Publisher : International Monetary Fund
Page : 27 pages
File Size : 52,7 Mb
Release : 2019-12-27
Category : Business & Economics
ISBN : 9781513525693

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Risk Management Maturity Assessment at Central Banks by Elie Chamoun,Nicolas Denewet,Antonio Manzanera,Sanjeev Matai Pdf

Effective risk management at central banks is best enabled by a sound framework embedded throughout the organization that supports the design and execution of risk management activities. To evaluate the risk management practices at a central bank, the Safeguards Assessments Division of the IMF’s Finance Department developed a tool that facilitates stocktaking of elements that are present and categorizes the function based on its maturity. Tailored recommendations are then provided to the central bank which provide a roadmap to advance the risk management function.

Author : Emanuel Kopp,Lincoln Kaffenberger,Nigel Jenkinson
Publisher : International Monetary Fund
Page : 36 pages
File Size : 47,8 Mb
Release : 2017-08-07
Category : Business & Economics
ISBN : 9781484314135

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Cyber Risk, Market Failures, and Financial Stability by Emanuel Kopp,Lincoln Kaffenberger,Nigel Jenkinson Pdf

Cyber-attacks on financial institutions and financial market infrastructures are becoming more common and more sophisticated. Risk awareness has been increasing, firms actively manage cyber risk and invest in cybersecurity, and to some extent transfer and pool their risks through cyber liability insurance policies. This paper considers the properties of cyber risk, discusses why the private market can fail to provide the socially optimal level of cybersecurity, and explore how systemic cyber risk interacts with other financial stability risks. Furthermore, this study examines the current regulatory frameworks and supervisory approaches, and identifies information asymmetries and other inefficiencies that hamper the detection and management of systemic cyber risk. The paper concludes discussing policy measures that can increase the resilience of the financial system to systemic cyber risk.

Author : Ms. Marianne Bechara,Wouter Bossu,Ms. Yan Liu,Arthur Rossi
Publisher : International Monetary Fund
Page : 23 pages
File Size : 52,6 Mb
Release : 2021-08-24
Category : Business & Economics
ISBN : 9781513592473

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The Impact of Fintech on Central Bank Governance by Ms. Marianne Bechara,Wouter Bossu,Ms. Yan Liu,Arthur Rossi Pdf

Fintech presents unique opportunities for central banks. The rapid changes in technology that are transforming the financial system will allow central banks to enhance the execution of various of their core functions, such as currency issuance and payment systems. But some aspects of fintech pose major challenges. Central banks have always been at the cutting edge of financial technology and innovation. In the past, the invention of the banknote, the processing of payments through debits and credits in book-entry accounts, and the successive transitions of interbank payment systems from the telegraph to internet protocols were all transformative innovations. Today, central banks are facing new and unprecedented challenges: distributed ledger technology, new data analytics (artificial intelligence [AI] and machine learning), and cloud computing, along with a wider spread of mobile access and increased internet speed and bandwidth. The purpose of this note is to discuss the authors’ preliminary views on how, from a legal perspective, central banks can best deal with the impact of fintech on their governance. These preliminary views are based on a review of central banks’ reaction thus far to the challenges posed by fintech to the legal foundations of their governance.

Author : El Bachir Boukherouaa,Mr. Ghiath Shabsigh,Khaled AlAjmi,Jose Deodoro,Aquiles Farias,Ebru S Iskender,Mr. Alin T Mirestean,Rangachary Ravikumar
Publisher : International Monetary Fund
Page : 35 pages
File Size : 40,9 Mb
Release : 2021-10-22
Category : Business & Economics
ISBN : 9781589063952

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Powering the Digital Economy: Opportunities and Risks of Artificial Intelligence in Finance by El Bachir Boukherouaa,Mr. Ghiath Shabsigh,Khaled AlAjmi,Jose Deodoro,Aquiles Farias,Ebru S Iskender,Mr. Alin T Mirestean,Rangachary Ravikumar Pdf

This paper discusses the impact of the rapid adoption of artificial intelligence (AI) and machine learning (ML) in the financial sector. It highlights the benefits these technologies bring in terms of financial deepening and efficiency, while raising concerns about its potential in widening the digital divide between advanced and developing economies. The paper advances the discussion on the impact of this technology by distilling and categorizing the unique risks that it could pose to the integrity and stability of the financial system, policy challenges, and potential regulatory approaches. The evolving nature of this technology and its application in finance means that the full extent of its strengths and weaknesses is yet to be fully understood. Given the risk of unexpected pitfalls, countries will need to strengthen prudential oversight.

Author : Robert Pringle,Nick Carver
Publisher : Unknown
Page : 269 pages
File Size : 53,9 Mb
Release : 2004
Category : Banks and banking, Central
ISBN : 1902182251

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New Horizons in Central Bank Risk Management by Robert Pringle,Nick Carver Pdf

Author : Gurdip Kaur,Ziba Habibi Lashkari,Arash Habibi Lashkari
Publisher : Springer Nature
Page : 193 pages
File Size : 48,9 Mb
Release : 2021-08-04
Category : Business & Economics
ISBN : 9783030799151

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Understanding Cybersecurity Management in FinTech by Gurdip Kaur,Ziba Habibi Lashkari,Arash Habibi Lashkari Pdf

This book uncovers the idea of understanding cybersecurity management in FinTech. It commences with introducing fundamentals of FinTech and cybersecurity to readers. It emphasizes on the importance of cybersecurity for financial institutions by illustrating recent cyber breaches, attacks, and financial losses. The book delves into understanding cyber threats and adversaries who can exploit those threats. It advances with cybersecurity threat, vulnerability, and risk management in FinTech. The book helps readers understand cyber threat landscape comprising different threat categories that can exploit different types of vulnerabilties identified in FinTech. It puts forward prominent threat modelling strategies by focusing on attackers, assets, and software and addresses the challenges in managing cyber risks in FinTech. The authors discuss detailed cybersecurity policies and strategies that can be used to secure financial institutions and provide recommendations to secure financial institutions from cyber-attacks.

Author : Hervé Tourpe,Ashley Lannquist,Gabriel Soderberg
Publisher : International Monetary Fund
Page : 44 pages
File Size : 55,7 Mb
Release : 2023-09-08
Category : Business & Economics
ISBN : 9798400253690

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A Guide to Central Bank Digital Currency Product Development by Hervé Tourpe,Ashley Lannquist,Gabriel Soderberg Pdf

As central bank digital currency (CBDC) projects progress around the world, there is increased need for a project management methodology that is appropriate for CBDC. This paper develops a CBDC-specific project management methodology that establishes a common terminology and offers guidance to development teams on best practices for addressing the complex requirements and risks associated with CBDC. It is centered on an original five-step approach called the “5P Methodology”: preparation, proof-of-concept, prototypes, pilots, and production. The methodology emphasizes a phased approach to CBDC research and development, with strong focus on research preparation, experimentation and testing, risk management, stakeholder engagement, and cyber resilience.

Author : Baral, Sukanta Kumar,Goel, Richa,Rahman, Md Mashiur,Sultan, Jahangir,Jahan, Sarkar
Publisher : IGI Global
Page : 244 pages
File Size : 42,6 Mb
Release : 2022-06-24
Category : Computers
ISBN : 9781668434505

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Cross-Industry Applications of Cyber Security Frameworks by Baral, Sukanta Kumar,Goel, Richa,Rahman, Md Mashiur,Sultan, Jahangir,Jahan, Sarkar Pdf

Data is the most important commodity, which is why data protection has become a global priority. Data breaches and security flaws can jeopardize the global economy. Organizations face a greater risk of failing to achieve strategy and business goals as cyber threat behavior grows in frequency, sophistication, and destructiveness. A breach can result in data loss, business interruption, brand and reputation harm, as well as regulatory and legal consequences. A company needs a well-thought-out cybersecurity strategy to secure its critical infrastructure and information systems in order to overcome these challenges. Cross-Industry Applications of Cyber Security Frameworks provides an understanding of the specific, standards-based security controls that make up a best practice cybersecurity program. It is equipped with cross-industry applications of cybersecurity frameworks, best practices for common practices, and suggestions that may be highly relevant or appropriate in every case. Covering topics such as legal frameworks, cybersecurity in FinTech, and open banking, this premier reference source is an essential resource for executives, business leaders, managers, entrepreneurs, IT professionals, government officials, hospital administrators, educational administrators, privacy specialists, researchers, and academicians.

Author : Ms.Inutu Lukonga
Publisher : International Monetary Fund
Page : 51 pages
File Size : 40,9 Mb
Release : 2018-09-11
Category : Business & Economics
ISBN : 9781484376546

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Fintech, Inclusive Growth and Cyber Risks: Focus on the MENAP and CCA Regions by Ms.Inutu Lukonga Pdf

Financial technology (fintech) is emerging as an innovative way to achieve financial inclusion and the broader objective of inclusive growth. Thus far, fintech in the MENAP and CCA remains below potential with limited impact on financial inclusion. This paper reviews the fintech landscape in the MENAP and CCA regions, identifies the constraints to the growth of fintech and its contribution to inclusive growth and considers policy options to unlock the potential.

Author : Asian Development Bank
Publisher : Asian Development Bank
Page : 106 pages
File Size : 50,8 Mb
Release : 2022-08-01
Category : Business & Economics
ISBN : 9789292696740

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Building Regulatory and Supervisory Technology Ecosystems by Asian Development Bank Pdf

This publication explores the use of regulatory technology (regtech) in finance. It discusses how to design an optimal architecture, alongside policy considerations for an integrated regtech and supervisory technology ecosystem. It highlights the interaction of industry use of technology in compliance and risk management; regulator and supervisor use of technology for supervision, monitoring, and enforcement; and use of technology to embed regulatory requirements and systems into financial infrastructure. The publication introduces key policy frameworks that enable ecosystem relationships at national, regional, and international levels, and showcases vital agile data management and standardization frameworks.