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Digital Operational Resilience Act

July 2024

What is DORA?

Regulatory Newbie: DORA aims to create a more consistent approach to making sure that banks, insurance companies, investment firms (and a bunch of other financial service providers) – can weather any IT storm. Think power outages, cyberattack etc.

The Digital Operational Resilience Act (DORA), effective January 16, 2023, with enforcement beginning January 17, 2025, significantly bolsters IT security for financial institutions across the EU. This regulation applies to banks, insurance companies, investment firms, and a further 20 financial entity types, along with their ICT third-party service providers.

DORA's primary objective is to ensure the European financial sector's resilience against severe operational disruptions. It achieves this by harmonizing operational resilience regulations, fostering a more consistent approach across the continent.

Key Takeaways for Financial Institutions:

  • Compliance Deadline: January 17, 2025

  • Applies To: Banks, insurance companies, investment firms, and 20 additional financial entity types, along with their ICT third-party service providers

  • Focus: Strengthening IT security and operational resilience

DORA covers:

  • Managing IT risks: Setting up systems to identify, assess, and control IT-related threats.

  • Outsourcing IT: Understanding and managing risks from external IT providers.

  • Testing IT resilience: Regularly checking how well systems can handle disruptions.

  • Handling IT incidents: Having plans in place to respond to and recover from IT problems.

  • Sharing information: Collaborating with others to combat cyber threats.

  • Overseeing key IT suppliers: Ensuring critical IT providers meet high standards.

Stay compliant with RegComply

  • We can help with a gap analysis that will provide an assessment of your business' current state of compliance with the Digital Operational Resilience Act (DORA). We'll identify areas where you're excelling and pinpoint areas where you may need to strengthen your efforts.

    By understanding your specific compliance gaps, you can prioritise your remediation efforts and develop a targeted plan to achieve full DORA compliance.

  • RegComply can help your business with preparing a strategic plan aimed at achieving compliance with DORA, working with stakeholders to develop a clear roadmap for implementation to ensure regulatory compliance and mitigate risks.

  • As with most regulatory obligations, governance and oversight must be embedded. We can help with drafting relevant policies and procedures and building the framework to ensure the right information is going to the right people.