Albania’s Central Bank Governor, Gent Sejko, addressed a hearing at the Commission against Disinformation today, focusing on the rising threats of cyber-attacks targeting the country’s financial institutions. Sejko highlighted a recent incident involving a second-tier bank that suffered a cyber-attack. While the attack did not compromise bank accounts, it did affect information security.

Why is this important: This development underscores the increasing cyber threats that financial institutions face, prompting a vigorous response to protect critical national infrastructure.

Context: Governor Sejko noted that, thankfully, due to prompt and coordinated efforts by law enforcement institutions, the recent cyber-attack was swiftly contained and managed. He stressed the importance of ongoing adjustments to regulatory frameworks to address these evolving threats. The Governor announced that the Bank of Albania, with technical assistance from the U.S. Department of the Treasury has developed a new regulation known as DORA (Digital Operational Resilience Act) for defending against cyber-attacks and information technology breaches. This regulation is set to be approved at the next meeting of the Supervisory Council.

Immediate and long-term measures:

• Regulatory updates: The new regulatory framework, DORA, will introduce more organized measures for protecting the banking system against cyber threats.
• Enhanced cyber security: The regulation aims to bolster the defenses of second-tier banks against cyber-attacks, significantly enhancing the overall security posture of Albania’s banking sector.

What’s next: With the implementation of DORA, Albania’s financial institutions will see a significant upgrade in their cyber security defenses. This is part of a broader effort to safeguard the nation’s economic stability and maintain the integrity of its financial systems. The upcoming Supervisory Council meeting will be a critical juncture for formalizing these vital protective measures.