The European Systemic Risk Board (ESRB) has issued a warning over systemic cyber risks linked to frontier artificial intelligence models, urging coordinated action across the financial sector.
According to the ESRB, in the short to medium term, such models could significantly reshape the cyber threat landscape by increasing the speed, scale and sophistication of attacks. Of particular concern is the ability to identify vulnerabilities more rapidly, develop and deploy malicious tools and reduce the time organisations have to respond.
The warning highlights that these risks affect the entire financial system and require a coordinated response from authorities, financial institutions and major technology providers at European level.
The Central Bank of Cyprus said it will continue to closely monitor developments and expects financial institutions to take the necessary measures to strengthen their resilience against emerging risks.
