Quick Hits

Central Banks Set Up Team To Oversee Cybersecurity

Bangladesh Bank $81-million heist acts as a wake-up call to banks to protect inter-bank transfer networking from cyberattacks.

A committee of central banks within the Bank for International Settlements (BIS) has set up a task force to oversee the security of banks and establish standards for the financial bodies to follow during cross-border banking, reports Reuters.

The task force is looking at whether to establish cybersecurity standards for inter-bank financial transfers, and it could sort responsibilities of banks and SWIFT during inter-bank transfers and identify “breakdowns” in the system, a source told Reuters.

The task force will include representatives of the 25 central banks that comprise the BIS payment committee, with a leading role by National Bank of Belgium.

The need for a team to weed out existing vulnerabilities in the banking system hit home after Bangladesh Bank was robbed of $81 million by hackers in February through fraudulent messages sent on the SWIFT network.  

Read details here.