Global Payments Cybersecurity Task Force A Go

With the pressure of cybercrime mounting in the financial services space, several central banks of the globe are joining together to figure out a strategy.

Reports on Friday (Sept. 16) said several central banks have confirmed the formation of a task force to explore cybersecurity of cross-border payments and banking to protect interbank transactions. Earlier reports had said such a group was in the works, but it wasn’t until now that the central banks confirmed their plans.

“Recent incident of cyberfraud are of significant concern for the central banking community, and we are working to make sure there are adequate checks and balances in place at each stage of the payments process,” said Benoit Coeure, who heads the Committee on Payments and Market Infrastructures, a part of the Bank for International Settlements.

Coeure also serves on the board of the European Central Bank, according to reports. Reuters had previously reported last week that such a task force would form following the $81 million bank heist from Bangladesh Bank, a crime that infiltrated the SWIFT payments messaging network.

The funds were stolen from Bangladesh’s central bank’s account at the New York Federal Reserve. Last month, Bangladesh Bank told reporters that — contrary to earlier reports — it would not file legal charges against SWIFT and the New York Fed.

The task force, which will be based in Basel, Switzerland, will explore how to safeguard against future cyberattacks. But Coeure told reporters that it is too early to say exactly how the task force’s proposals might impact bank security. Reports said the committee will discuss its next steps after reviewing current cybersecurity practices at the banks.