The European Systemic Risk Board (ESRB) has issued today a Warning on systemic cyber risks stemming from frontier artificial intelligence models (ESRB/2026/3).
According to the ESRB, in the short to medium term, these models may materially change the cyber threat landscape by increasing the speed, scale and sophistication of cyberattacks. A key concern relates to their potential to accelerate vulnerability discovery, support the development and exploitation of malicious tools, and reduce the time available for organisations to respond effectively.
The ESRB emphasises that these risks affect the whole financial system and calls for a coordinated response from competent authorities, financial institutions and critical technology service providers across the European Union.
The Central Bank of Cyprus will continue to closely monitor related developments and expects financial institutions to take all necessary measures to strengthen their resilience against emerging risks.