The Gateway to Algorithmic and Automated Trading

EBA consults on cloud computing guidance

First Published 19th May 2017

The European Banking Authority has launched a consultation setting out its guidance for the use of cloud service providers by financial institutions.

The EBA Recommendations intend to clarify the EU-wide supervisory expectations if institutions intend to adopt cloud computing, so as to allow them to leverage the benefits of using cloud services, while ensuring that any related risks are adequately identified and managed. The consultation runs until 18 August 2017.

The growing importance of cloud services as a driver of innovation and the increasing interest for the use of cloud outsourcing solutions within the banking industry have prompted the EBA to develop these Recommendations on its own initiative. This guidance, which builds on the existing Guidelines on outsourcing developed by the Committee of European Banking Supervisors (CEBS), provides additional clarity on cloud computing.

In particular, the Recommendations address five key areas: the security of data and systems, the location of data and data processing, access and audit rights, chain outsourcing, and contingency plans and exit strategies.

The Recommendations are addressed to credit institutions, investment firms and competent authorities. The EBA, in its follow-up work, will explore the possible applicability of the provisions laid down in these Recommendations to other types of regulated entities.

  • Copyright © Automated Trader Ltd 2017 - Strategies | Compliance | Technology

click here to return to the top of the page
content