The Digital Operational Resilience Act (DORA) is a European Union regulation designed to strengthen the operational resilience of financial entities against digital and cyber risks. In today’s interconnected financial landscape, disruptions to information and communication technology (ICT) can have serious impacts on markets and clients. DORA aims to ensure that all financial institutions – including banks, insurers, and investment firms – are well-prepared to handle and recover from ICT-related disruptions.
DORA sets out a unified regulatory framework requiring financial entities to establish robust ICT risk management frameworks, regularly test their digital resilience, and report significant ICT-related incidents to regulators. The regulation also emphasizes the oversight of critical third-party ICT providers, like cloud service providers, ensuring they meet stringent standards to protect financial entities from cascading risks.
An important part of DORA is the focus on realistic testing, including advanced techniques like red-teaming, which simulate cyberattacks to assess an organization’s defenses. The regulation encourages information sharing about cyber threats to foster a collaborative defense across the financial sector.
By harmonizing digital resilience requirements across the EU, DORA promotes a safer, more resilient financial ecosystem that protects both institutions and consumers, helping to safeguard financial stability in the face of evolving digital threats.
The Digital Operational Resilience Act (DORA), enacted by the European Union, establishes a comprehensive regulatory framework aimed at enhancing the operational resilience of financial entities by strengthening their information and communication technology (ICT) systems and processes
Our unique knowledge of DORA, its origins and objectives means that Phoenix Resilience can be a key partner for financial institutions navigating these new regulatory requirements
A comprehensive DORA strategy and programme needs to cover all the aspects listed below. We can engage with you to build a strategy and a programme covering these areas.