The Eurosystem cyber strategy for financial market infrastructures Following the increase in both the frequency and severity of cyberattacks over the last few years, legislators, regulators and standard setters have issued legislation and guidance on cyber security at national and international level and at cross-sectoral as well as sector-specific level. Let me briefly mention three initiatives. First, in 2016, the EC adopted the Directive on security of network and information systems (the NIS Directive). Its aim is to bring the cybersecurity capabilities of operators of essential services to the same level of development in all the EU Member States and to ensure an efficient exchange of information and good cooperation on the topic throughout the EU. Second, at international level, the G7 countries have drawn up a set of fundamental elements of cybersecurity for the financial sector, as well as three further recommendations on the effectiveness of cybersecurity assessments, third-party risks, and coordination with other critical sectors. Third, with a key focus on financial stability, the CPMI-IOSCO published a principles-based “Guidance on cyber resilience for financial market infrastructures” in June 2016. Supplementing the “Principles for Financial Market Infrastructures”, it provides additional detail related to the preparations and measures that financial market infrastructures should undertake to enhance their cyber resilience. In recognition of the escalating cyber threats, the legislative and regulatory guidance and the required paradigm shift, the Eurosystem’s overseers have launched a strategy for cyber resilience in relation to financial market infrastructures.
I look forward to the productive and engaging discussions during this conference, and wish you a pleasant stay in Kuala Lumpur. I shall now invite the ISI President, Professor Vijay Nair to deliver his Opening Remarks. 2  BIS central bankers’ speeches