The Monetary Authority of Singapore (MAS) has imposed an additional capital requirement on DBS Bank after its digital banking services suffered a widespread outage on 23-25 November, the city-state’s central bank said in a statement on its website Monday.
DBS Bank will be required to apply a multiplier of 1.5 times to its risk-weighed assets for operational risk, or an additional around S$930 million in regulatory capital, the MAS said.
The statement cited deficiencies in the bank’s incident management and recovery procedures, resulting in a prolonged disruption.
The central bank said it directed DBS Bank to appoint an independent expert for a comprehensive review, including how a similar incident can be prevented.
Piyush Gupta, the CEO of DBS, said in a statement filed to SGX: “In a digital era, customers rightly expect to have seamless and uninterrupted access to online banking services 24/7. This is something we take very seriously.”
“Since the November incident, DBS has taken a series of actions to improve the resilience of our services and incident response,” Gupta said. “Over the course of the next few months, together with an independent expert, we will continue to review our systems and processes to ensure that we do better going forward.”