Financial Sector AI Adoption... Authorities Push for Network Separation Regulation Improvement

by Yoo Jaehoon

Published 12 Apr.2024 15:10(KST)

First Meeting of the Financial Sector Network Separation Task Force

The financial authorities are pushing for improvements to network separation regulations to expand advanced technologies such as artificial intelligence (AI) in the financial industry.

On the 12th, the Financial Services Commission held the '1st Financial Sector Network Separation Task Force (TF) Meeting' at the Government Seoul Office in Jongno-gu, Seoul, together with related organizations including the Financial Supervisory Service and the Financial Security Agency.

Financial Sector AI Adoption... Authorities Push for Network Separation Regulation Improvement

Network separation regulation is a security technique that separates internal and external networks to protect internal computing resources from external intrusions. Following a large-scale financial computing accident in the financial sector in 2013, network separation regulations for the financial sector were introduced, and by the end of 2014, physical network separation was adopted.

However, the financial sector has pointed out that such network separation regulations act as obstacles to the adoption of new digital technologies.

Accordingly, the financial authorities plan to address difficulties such as the inability of IT developers to work remotely through the TF and seek ways to improve the working environment. In addition, since the characteristics of AI technology, which require connection with external networks, conflict with current network separation regulations, they intend to prepare improvement measures such as linking internal and external systems and automating internal work processes.

Furthermore, they will also consider measures to flexibly use Software as a Service (SaaS) and derive improvement plans. The Financial Services Commission stated, "We will derive specific improvement measures focusing on these matters and actively discover and review additional improvement tasks through industry suggestions. We plan to compile the issues discussed in the TF and prepare the 'Rationalization Plan for Network Separation Regulations in the Financial Sector' within the first half of the year, and promptly implement necessary follow-up measures thereafter."