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ARTICLE · 03 MAY 2022

OSFI Begins Consultation Process On Revised Guideline B-10 – Third-Party Risk Management

On April 27, 2022, the Office of the Superintendent of Financial Institutions released Draft Guideline B-10 – Third-Party Risk Management for public comment.

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On April 27, 2022, the Office of the Superintendent of Financial Institutions (OSFI) released Draft Guideline B-10 - Third-Party Risk Management (Draft Guideline B-10) for public comment. Draft Guideline B-10 aims to enhance OSFI's expectations of Federally Regulated Financial Institutions' (FRFIs) management of third-party risks.

Draft Guideline B-10 updates the existing OSFI Guideline B-10 - Outsourcing of Business Activities, Functions and Processes (Guideline B-10), which has not been updated since 2010. In its release, OSFI noted that the proposed changes to Guideline B-10 were informed by its findings from several sources, including: (i) OSFI's 2019 Third-Party Risk Study, (ii) feedback from OSFI's 2020 Technology Risk Discussion Paper, (iii) public comment received regarding OSFI's draft Guideline B-13 – Technology and Cyber Risk, and (iv) observations from OSFI's ongoing supervisory and policy work.

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