I will then share some of the insights gained from the ECB’s key initiatives on cyber risk. Trends in the financial sector We see a number of trends in the financial sector related to cyber risk: First, the close interconnection and complexity of the financial system creates vulnerabilities which can be exploited by cyber attackers.
Consequently, the Governing Council of the ECB has announced a quantitative reference value for M3 growth, which has been set at an annual rate of 4½%. Under normal circumstances, substantial deviations from the reference value would tend to indicate future risks to price stability. However, monetary policy does not react to deviations of monetary growth from the reference value in a “mechanistic” way.