In a move that reflects the UAE's global leadership in information security, the Dubai Financial Services Authority (DFSA) today published an extensive report titled: "Cyber and AI Risks in Financial Services: Strengthening oversight through international dialog", highlighting the growing digital challenges in the global financial sector.
The report, which was based on the discussions of the first Supervisory Forum held in May 2025 and attended by more than 70 officials from 18 regional and international financial institutions, noted that digital risks are no longer peripheral, but have become a systemic threat that requires urgent adaptation of regulatory policies.
The report highlighted the role of quantum computing, which could disrupt current cryptographic foundations, and artificial intelligence, which requires responsible governance and interpretive systems to ensure transparency.
Justin Baldacchino, Director General of the Dubai Authority's Control Department, said: "Digital risks are rapidly evolving into systemic threats that require resilient regulatory responses, and we are proud to host this global forum to drive the conversation around these challenges."
Three main themes of the report
Cybersecurity: Attacks are increasing in sophistication, especially with the reliance on digital supply chains.
Quantum computing: A threat to current cryptographic systems, and the need to move to post-quantum cryptography.
Artificial intelligence: The need to develop interpretable algorithms and strengthen the governance of the use of AI in financial systems.
"Technologies are accelerating at an unprecedented pace, and global regulators must share insights and experiences to build resilient, cross-border surveillance systems," said Hermann Schuler, Director of the Technology Risk and Innovation Oversight Directorate (TRID).
UAE at the forefront of global cybersecurity
The report coincides with the UAE topping global cybersecurity indices, as the Cybersecurity Council announced the winners of the Excellence Awards under the patronage of Sheikh Mansour bin Zayed Al Nahyan, reflecting the country's proactive vision in facing future digital challenges.
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