DORA (Digital Operational Resilience Act) is an EU regulation harmonising ICT risk management for financial entities (banks, insurers, etc.) and critical third-party providers, effective January 2025, requiring robust frameworks for ICT risk management, incident reporting, testing, managing third-party risks, and information sharing to ensure they can withstand, respond to, and recover from digital disruptions like cyberattacks, creating a unified, resilient EU financial ecosystem.
What it is:
- A comprehensive EU law (Regulation 2022/2554) setting unified rules for digital operational resilience across the financial sector.
Why it’s needed:
- Increased reliance on technology makes the sector vulnerable to cyber threats and system failures.
- Addresses inconsistent national rules and fragmented oversight.
Who it applies to:
- A broad range of EU financial entities (banks, insurers, investment firms, crypto-asset providers, etc.).
- Their critical ICT (Information and Communication Technology) third-party providers.
Key Requirements (The 5 Pillars):
- ICT Risk Management: Establish robust frameworks to manage ICT risks (protection, detection, response, recovery).
- Incident Reporting: Standardized reporting of major ICT-related incidents to authorities.
- Digital Resilience Testing: Regular, advanced testing of digital systems and capabilities.
- Third-Party Risk Management: Strict oversight of ICT service providers, including contractual requirements and maintaining registers.
- Information Sharing: Voluntary sharing of cyber threat intelligence between financial entities.
Goal:
- To build a stronger, more resilient EU financial system, protecting customers and preventing widespread service disruptions from digital threats.
Regulatory Intelligence 
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