AI is one of several key issues facing banks surveyed in the report released Thursday (May 7).
“Artificial intelligence is significantly transforming the cyber threat landscape, while also providing new capabilities to manage cyber-related risks,” the OCC said in the report.
The regulator recommended that banks mitigate AI-enabled cyber risks by implementing more stringent security measures, including multifactor authentication and timely patch management; deploying AI to defend against threats; and understanding the potential benefits and risks of the increasingly advanced AI tools that are entering the market.
The OCC also highlighted the opportunities for innovation with AI. It said in the report that banks have used forms of AI for many years and are now exploring the use of generative AI and agentic AI. Early use cases of these new forms of AI focus on productivity and customer service.
The regulator said it is essential that banks maintain appropriate governance and risk management when implementing AI and that the industry has already done so with traditional AI.
Advertisement: Scroll to Continue
“The OCC supports responsible innovation, such as through gen AI and agentic AI, as a means of modernizing the financial system and ensuring that banks of all sizes remain relevant and competitive,” the regulator said in the report.
The International Monetary Fund also addressed cyber risk and the importance of cybersecurity in a blog post published Thursday. The IMF said existing cybersecurity measures must be expanded and sharpened because attacks are becoming faster, automated and more sophisticated.
Surveying other issues affecting banks, the OCC said in its report that bank earnings improved in 2025, balance sheets remain strong, and bank performance has been underpinned by a U.S. economy that exhibited moderate growth in 2025 and is expected to continue to grow in 2026.
In credit risk, the OCC said three areas that warrant monitoring are commercial real estate lending, private credit markets and consumer borrowers with weaker credit scores. But credit risk remains manageable, it said.
Bank compliance systems may be strained as geopolitical tensions increase sanctions and money laundering risk, the regulator said.
“The OCC continues to look for opportunities to tailor bank supervision and regulations to risk and complexity so that banks can direct more attention and resources toward higher-risk customers and activities,” the regulator said in the report.
For all PYMNTS AI coverage, subscribe to the daily AI Newsletter.
OCC Recommends Banks Sharpen AI Defense Tactics | PYMNTS.com Top World News Today.
Hence then, the article about occ recommends banks sharpen ai defense tactics pymnts com was published today ( ) and is available on TOP world News today ( Middle East ) The editorial team at PressBee has edited and verified it, and it may have been modified, fully republished, or quoted. You can read and follow the updates of this news or article from its original source.
Read More Details
Finally We wish PressBee provided you with enough information of ( OCC Recommends Banks Sharpen AI Defense Tactics .. PYMNTS.com )
Also on site :
- Who Is ShinyHunters? Hacker Group Claiming Canvas, Vimeo, Pornhub Attacks
- Llegó a EE.UU. a los 4 años y soñaba con entrar al Ejército, pero fue deportado a un país que no recuerda
- Anthropic’s Mythos set off a cybersecurity ‘hysteria.’ Experts say the threat was already here