G7 Finance Leaders Plan Simulations to Strengthen Defences Against AI Cyber Threats
Finance leaders from the Group of Seven (G7) advanced economies have agreed to conduct exercises designed to prepare for cyberattacks driven by artificial intelligence. Japanese Finance Minister Satsuki Katayama announced the agreement following a meeting held alongside the International Monetary Fund’s annual gathering in Bangkok, Thailand. The report was published on October 16, 2026.
The decision comes after the International Monetary Fund warned during the same week that an AI-enabled cyberattack targeting a critical service at a financial institution could undermine confidence.
The planned exercises will use simulated scenarios to test how financial authorities respond to cyber incidents involving AI. A Japanese finance ministry official who attended the meeting said the simulations would be developed by G7 finance authorities.
The exercises are intended to assess the effectiveness of existing response protocols. Their findings will be used to revise operational manuals and improve preparations for dealing with AI-driven cyberattacks, according to the official.
The simulations will be conducted by G7 finance ministries and central banks. Private financial institutions could also participate, depending on the nature of the scenarios being tested.
Katayama’s announcement followed a meeting of G7 finance ministers and central bank governors held on the sidelines of the IMF’s annual gathering in Bangkok. The discussions reflect growing efforts among policymakers to coordinate responses to cybersecurity risks affecting financial systems.
Financial regulators have increasingly focused on the possibility that AI-enabled attacks could threaten banks and other institutions. Concerns also include the potential for rogue AI agents to undermine financial stability.
The exercises are intended to help authorities examine whether existing arrangements are sufficient to respond to such incidents. By testing established procedures through simulations, officials will be able to identify areas where response manuals may need to be revised.
The Bank of England is among the regulators taking steps to address the threat. The institution is working with banks on deep cyber-recovery options.
The Bank of England’s deputy governor said on Thursday that financial institutions could no longer assume their defences were immune to AI-enabled cyberattacks. The remarks underline the growing attention being given to recovery planning alongside conventional cybersecurity measures.
The G7 initiative focuses on preparedness and coordination among financial authorities rather than a single technical defence. The proposed simulations will allow participating organisations to test their responses to different incident scenarios and use the results to improve existing procedures.
The possible involvement of private financial institutions could also bring banks and other organisations into the exercises, depending on how the scenarios are designed.
The agreement comes as international financial authorities assess the implications of AI for cybersecurity and financial stability. The IMF’s warning about a potential attack on a critical financial service has added urgency to discussions about how institutions should prepare for incidents involving AI.
Through the planned exercises, G7 finance authorities and central banks will seek to evaluate their readiness, strengthen response procedures and update guidance for handling AI-driven cyber threats.
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