The Federal deposit Insurance Corp. (FDIC) isn't doing enough to monitor cyber risk effectively at the financial institutions it regulates, according to a federal government watchdog. Read this blog post for a summary of report findings, including a look at deficiencies in the agency's IT and cyber risk assessment program.
What are the main concerns regarding the FDIC's cyber risk assessment?
The FDIC's Office of Inspector General highlighted major deficiencies in the agency's IT and cyber risk assessment program, known as InTREx. Key concerns include outdated information used in assessments, incomplete testing by agency examiners, and a lack of training and updates on the latest cyberthreats for staff.
How is the FDIC responding to the watchdog's recommendations?
The FDIC has committed to implementing 14 out of the 19 recommendations made by the Office of Inspector General by the end of this year. However, the watchdog has expressed that the actions taken to address the remaining five concerns have not been sufficient.
What impact do cyberattacks have on financial institutions?
Cyberattacks can significantly alter the risk profile of financial institutions by disrupting or degrading systems, or through unauthorized alterations of information. This poses a major threat to the stability and security of banks.
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