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OSFI Prioritizes Non-Financial Risk Supervision

OSFI Prioritizes Non-Financial Risk Supervision

by Starling Insights

Starling Insights Editorial Board

Apr 05, 2024

Observations

In a recent interview with Banking Risk and Regulation's John Crowley, Ben Gully, Deputy Superintendent at Canada's Office of the Superintendent of Financial Institutions (OSFI), discussed the regulator's focus on non-financial risks in its new supervisory framework.

"On the risk front, we've moved from a classic financial risk approach to one where we are in the arena of non-financial risks — climate, technology, cyber and geopolitical," Gully said. “This view of financial strength and control needs to be augmented with broader notions of resiliency, both operational and financial. It is an approach that is more focused on outcomes, rather than on inputs alone.”

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