These Standards form part of the Outsourcing Regulation for Banks (Circular No. 14/2021). All Banks are required to comply with these Standards, which expand on the Regulation and will be enforced by the Central Bank.

Banks outsource activities for a variety of business reasons. However, there are risks associated with outsourcing and these risks must be appropriately managed to ensure that the Bank is able to meet its financial and service obligations, regardless of whether a business activity is undertaken by the Bank itself or outsourced.

A Bank’s Board is in ultimate control of the Bank and accordingly, remains responsible for any business activities which have been outsourced. The Board is responsible for ensuring that all risks related to outsourcing are identified and that appropriate policies and procedures are in place to manage those risks.

The Standards follow the structure of the Regulation, with each article corresponding to the specific article in the Regulation.