# BOJ Financial System Report (October 2026): Financial System Report (October 2026)

Source: https://www.bankingnewsai.com/ai-regulation/documents/boj-financial-system-report-2026-10
Last updated: Nov 2, 2026

The Bank of Japan's October 2026 Financial System Report states that 'advances in so-called "frontier AI" have further heightened cybersecurity threats' because they 'could increase the speed and scale of cyberattacks', and reviews progress on the nine short-term measures the FSA and BOJ jointly requested of financial institutions on 22 May 2026. It reports that Japanese institutions are assessing internet-facing systems such as internet banking against the nine-measure checklist, but gives no completion rate, and says the Bank will follow up through on-site examinations and off-site monitoring. It also cites a BOJ survey of around 150 institutions (April–May 2026) finding about 80% already using generative AI, rising above 90% counting trials.

## At a glance

| Field | Value |
| --- | --- |
| Authority | [Japan FSA](https://www.bankingnewsai.com/ai-regulation/japan-fsa) |
| Type | Report |
| Status | Final |
| Published | Oct 23, 2026 |
| Applies to | Japanese deposit-taking institutions generally; Bank of Japan semi-annual financial-stability assessment, not FSA supervisory guidance as such |
| Official text | https://www.boj.or.jp/en/research/brp/fsr/fsr261023.htm |

## Key points

- States frontier AI 'could increase the speed and scale of cyberattacks', continuing the warning behind the FSA/BOJ's 22 May 2026 nine-measure request.
- Reports institutions are assessing internet-facing systems (such as internet banking) against the nine short-term measures, without giving a completion rate.
- Says the Bank will follow up on institutions' progress through on-site examinations and off-site monitoring.
- Cites an April–May 2026 BOJ survey of roughly 150 institutions: about 80% already using generative AI, rising above 90% counting trials.

## What changed for banks

The first follow-up assessment of the 22 May 2026 nine-measure request — confirms institutions are engaging with the checklist but stops short of a completion report, which is the review the tracker has been watching for.

## Use cases it governs

- [Cybersecurity](https://www.bankingnewsai.com/ai-regulation/by-use-case#cybersecurity)
- [Generative & agentic AI](https://www.bankingnewsai.com/ai-regulation/by-use-case#generative-agentic-ai)

## FAQ

### Have Japanese financial institutions completed the nine frontier-AI cyber measures the FSA and BOJ requested?

No completion rate has been published. The BOJ's October 2026 Financial System Report says institutions are assessing internet-facing systems against the nine-measure checklist, with the Bank following up through on-site and off-site monitoring.

## Related documents

- [Japan FSA/BOJ frontier AI request](https://www.bankingnewsai.com/ai-regulation/documents/japan-fsa-boj-frontier-ai-request-2026) — Request regarding 'Short-term Responses by Financial Institutions in Light of Threat Changes from Frontier AI' (「フロンティアAIによる脅威変化を踏まえた金融機関等の短期的な対応」に係る要請について) (May 22, 2026)
- [Japan FSA AI Discussion Paper v1.1](https://www.bankingnewsai.com/ai-regulation/documents/japan-fsa-ai-discussion-paper-v1-1-2026) — AI Discussion Paper (Version 1.1): Preliminary Discussion Points for Promoting the Sound Utilization of AI in the Financial Sector (Mar 3, 2026)
- [Japan FSA AI Discussion Paper v1.0](https://www.bankingnewsai.com/ai-regulation/documents/japan-fsa-ai-discussion-paper-2025) — AI Discussion Paper (Version 1.0): Preliminary Discussion Points for Promoting the Sound Utilization of AI in the Financial Sector (Mar 4, 2025)
- [Machado interview with Bloomberg (Oct 2026)](https://www.bankingnewsai.com/ai-regulation/documents/ecb-machado-bloomberg-interview-2026-10) — Interview with Bloomberg — Pedro Machado (Oct 30, 2026)
- [Division of Examinations FY2027 Priorities](https://www.bankingnewsai.com/ai-regulation/documents/sec-exam-priorities-fy2027) — Examination Priorities: Fiscal Year 2027 — Division of Examinations (Oct 23, 2026)
- [FSB AI sound practices (final report, Oct 2026)](https://www.bankingnewsai.com/ai-regulation/documents/fsb-ai-sound-practices-2026) — Sound Practices for Responsible Adoption of Artificial Intelligence (AI): Final report (Oct 15, 2026)
- [HKMA "ART" Framework / AI supervisory guidance](https://www.bankingnewsai.com/ai-regulation/documents/hkma-art-framework-ai-guidance-2026) — "ART" Framework and Updated Supervisory Guidance for Responsible Adoption of Artificial Intelligence (Oct 15, 2026)
- [OSFI 2026 Semi-Annual Risk Outlook](https://www.bankingnewsai.com/ai-regulation/documents/osfi-semi-annual-risk-outlook-2026) — 2026 Semi-Annual Risk Outlook (Oct 8, 2026)

Last reviewed Nov 2, 2026. Cite the official text (https://www.boj.or.jp/en/research/brp/fsr/fsr261023.htm) for the rule and this page for the summary and dates.

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