The ESAs Call for Consistent Supervision to Mitigate AI Risks in the EU
European supervisory authorities highlight the need for robust governance to manage ICT risks related to advanced AI models.
The European Banking Authority (EBA), the European Insurance and Occupational Pensions Authority (EIOPA), and the European Securities and Markets Authority (ESMA) are calling for improved governance and consistent supervision to mitigate ICT risks arising from advanced AI models. This statement, published on July 31, 2026, urges a cross-sectoral risk-based supervisory strategy to protect the EU financial sector.
Measures Against Cyber Risks
The ESAs have outlined specific measures for financial entities to bolster their operational resilience against cyber risks associated with advanced AI models. The importance of prevention, detection, and management of these risks is emphasized. Furthermore, institutions must have robust governance and risk management frameworks that support effective management.
Focus on Cross-Sectoral Supervision
The ESAs' statement is based on current regulations and the European Commission's Cybersecurity and Artificial Intelligence Action Plan. It also considers recent publications from the European Systemic Risk Board (ESRB) and the European Union Agency for Cybersecurity (ENISA). This approach aims to ensure that the European financial system remains resilient to technological risks.
Ongoing Supervisory Activities
The ESAs are continuing supervisory activities under the DORA Regulation for critical third-party ICT service providers to mitigate these risks. Financial entities and competent authorities are encouraged to use these guidelines as a basis for supervisory dialogue, leveraging existing supervisory expectations.
"It is crucial that financial entities adopt solid frameworks to manage advanced AI risks," states the ESAs' announcement.
Importance of Collaboration
Collaboration between financial entities and supervisory authorities is essential to effectively address the challenges posed by cutting-edge AI technologies. This seeks to maintain the resilience of the EU financial system against these emerging risks.
For more information, contact Tayfun Yilmaz, Communications Officer at ESMA: [email protected].
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Miguel Sandoval
Regulatory Affairs Correspondent
Miguel Sandoval tracks gambling legislation, licensing, and regulator enforcement — from Spain's DGOJ and the Latin American authorities to the UKGC, the MGA, and the state-by-state map in North America. The reports answer three questions precisely — what changed, where, and who it affects — with jurisdictions, dates, and penalties cited exactly as published. Operators and compliance officers read Miguel Sandoval to know which rulebook moved before their next meeting.
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