The Financial Stability Board (FSB) has set out proposals to ensure greater convergence in cyber incident reporting.
Cyber incidents are growing rapidly in frequency and sophistication, says the FSB. At the same time, the cyber threat landscape is expanding amid digital transformation, increased dependencies on third-party service providers and geopolitical tensions.
Growing interconnectedness of the financial system increases the likelihood of a cyber incident at one financial institution, or an incident at one of its third-party service providers, having spill-over effects across borders and sectors, warns the board.
Last year, the board published a report finding fragmentation across sectors and jurisdictions in the scope of what should be reported for a cyber incident; methodologies to measure its severity and impact; timeframes for reporting; and how cyber incident information is used.
It has now come back with 16 recommendations for addressing these issues as it bids to develop a common reporting format to "promote convergence, address operational challenges arising from reporting to multiple authorities and foster better communication".