BaFin publishes ‘Guidance on ICT Risks in the Use of AI in FIs’, urging firms to strengthen operational resilience by managing AI ICT risks across governance, monitoring, and third-party dependencies

The guidance provides practical, non‑binding recommendations for embedding AI risk management across the entire AI lifecycle—from collecting and preparing data, developing and deploying systems, to monitoring performance and safely retiring them. It stresses the importance of strong governance, clear responsibilities, and effective oversight to ensure AI systems are reliable and secure. BaFin also highlights managing third-party and outsourcing risks, as many AI systems depend on external vendors or cloud services that…