Digital Operational Resilience ActDORADigital Operational Resilience Act

The Digital Operational Resilience Act (DORA), adopted by the European Union in 2022, aims to enhance the cybersecurity and resilience of financial institutions across the bloc. It establishes a comprehensive set of requirements for organizations operating in the financial sector, including banks, insurance companies, and investment firms, to ensure their IT systems can withstand and recover from cyberattacks and other disruptions. DORA mandates robust risk management practices, incident reporting protocols, and regular testing of operational resilience capabilities. The regulation also places emphasis on the assessment and mitigation of third-party IT risks, recognizing the critical role of external service providers in the financial ecosystem. DORA's effective implementation is expected to strengthen the resilience of the EU's financial sector and protect its critical infrastructure from digital threats.