Global regulators tighten rules on banks outsourcing services

Reported about 1 year ago

The Basel Committee of banking regulators proposed 12 principles for banks and regulators to follow, emphasizing that bank directors must take responsibility for outsourced services and manage the risks of disruptions. Third-party services, including cloud computing by tech giants like Microsoft and Amazon, are under scrutiny as regulators are concerned about the impact on the financial sector if service providers experience outages. The European Union and Britain are also implementing measures to enhance operational resilience in financial institutions.

Source: YAHOO

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