US House Financial Services Committee

The FSB is reviewing cloud provider concentration risk in the latest example of regulator concern over reliance on leading cloud providers by financial services institutions.

By Alan W. Avery, Nicola Higgs, and Fiona Maclean

The Financial Stability Board (FSB), an international body of G-20 central banks and supervisors, continues to scrutinize the use of cloud services by financial services institutions. The FSB previously noted its concerns about the concentration risk of cloud services in the financial markets in a report of February this year. In that report, the FSB encouraged regulators worldwide to review their national regulatory frameworks to ensure appropriate oversight of cloud providers.