The Basel Committee on Banking Supervision (BCBS) launched consultations (to run until 6 November 2020) on banks' operational resilience and management of operational risk. The proposed principles for operational resilience aim to mitigate the impact of potentially severe adverse events (e.g., pandemics, cyber incidents, technology failures or natural disasters) by enhancing banks' ability to withstand, adapt, and recover. The principles focus on governance; operational risk management; business continuity planning and testing; mapping interconnections and interdependencies; third-party dependency management; incident management; and resilient cyber security and ICT. The BCBS is also proposing updates to its principles for the sound management of operational risk (PSMOR), to
(i) align the PSMOR with the recently finalized Basel III operational risk framework;
(ii) update the guidance where needed in the areas of change management and ICT; and
(iii) enhance the overall clarity of the principles document.