5. Banks and their customers have benefited from the application of technology to financial services, although the increased use of technology presents new risks. Until recently, some of the most predominant operational risks that banks faced resulted from vulnerabilities related to the rapid adoption of and increased dependency on technology infrastructure for the provision of financial services and intermediation, as well as the sector's growing reliance on technology-based services provided by third parties. The Covid-19 pandemic has exacerbated these operational risks and increased economic and business uncertainty. Technology and relationships with third parties have at the same time supported the continued delivery of products and services to customers and promoted the ability of banks to continue operations during the pandemic.

6. Pandemic-related disruptions have affected information systems, personnel, facilities and relationships with third-party service providers and customers. In addition, cyber threats (ransomware attacks, phishing, etc) have spiked, and the potential for operational risk events caused by people, failed processes and systems has increased as a result of greater reliance on virtual working arrangements. The Committee's guidance on operational resilience will continue to be informed by its monitoring of the impact of the Covid-19 pandemic and any lessons learned.