On 10 October 2025, the Financial Stability Board (FSB) issued a report that examines how financial authorities can monitor artificial intelligence (AI) adoption and assess related vulnerabilities. The report builds on the FSB’s 2024 report and incorporates findings from a member survey on AI monitoring approaches, interviews with member authorities, publicly available information and stakeholder outreach.

In particular, building on the 2024 report, which identifies third-party dependencies and service provider concentration as key vulnerabilities, the report examines recent developments that could have implications for financial institutions’ reliance on a small number of third-party service providers. These developments highlight the importance of monitoring the role of service providers in supporting financial institutions’ operations and addressing potential vulnerabilities in the AI supply chain. The report includes a case study on this issue, relating to generative AI (GenAI), noting that while financial institutions appear to be cautiously adopting GenAI with apparently limited use for critical functions and critical operations so far, financial institutions are also exploring new use cases.

The report concludes with the following considerations for the FSB, standard setting bodies (SSBs) and national financial authorities:

• National authorities are encouraged to enhance their monitoring approaches by leveraging the potential indicators presented in the report, collaborating with domestic stakeholders to formalise metrics, enhancing engagement with regulated financial institutions, exploring AI tools to both monitor and mitigate vulnerabilities, and promoting greater data sharing across domestic authorities.
• The FSB and relevant SSBs should continue to support these efforts by facilitating cross-border cooperation, including through sharing information, experiences, and good practices, and by working towards greater alignment in taxonomies and indicators where feasible.
• The FSB and relevant SSBs are encouraged to continue monitoring AI developments and addressing data gaps as appropriate, working towards a comprehensive approach to understanding AI adoption in the financial sector and related vulnerabilities.