DFSA Cybersecurity Compliance & Risk Management

DESC_GOV

SECURED

Dubai Financial Services Authority - DIFC

DFSA Cybersecurity
Compliance & Risk Management

Q: What types of firms must comply with DFSA cybersecurity requirements?

All financial institutions, fintechs, and regulated entities operating within the Dubai International Financial Centre (DIFC) must comply with DFSA cybersecurity requirements.

Q: How often is penetration testing required?

Annual security testing programs including independent penetration testing are required by DFSA for regulated entities.

Q: What is the incident reporting process to DFSA?

DFSA requires implementation of cyber incident escalation procedures and incident notification support in line with CIR (Cyber and Information Resilience) guidelines.

Q: How does DFSA compliance differ from CBUAE?

DFSA regulates financial institutions within the DIFC with specific cybersecurity and governance frameworks, while CBUAE (Central Bank of UAE) regulates financial institutions across the broader UAE jurisdiction.

Q: What are the penalties for non-compliance?

Non-compliance with DFSA requirements may result in regulatory sanctions, license restrictions, or enforcement actions.

Mandatory security certifications and compliance services for Dubai government entities. CSP, Data Center, SOC, IoT, and ICS security standards aligned with Dubai Cyber Security Strategy.

Consult Cyber Experts

What is DFSA Compliance?

Operational Risk & Cyber Resilience Framework

The Dubai Financial Services Authority (DFSA) regulates all financial services conducted in or from the Dubai International Financial Centre (DIFC). DFSA's Operational Risk rulebook (Chapter 7) and Cyber Resilience framework mandate comprehensive cybersecurity controls, incident response capabilities, and operational continuity for banks, investment firms, insurance companies, and FinTech platforms operating in DIFC.

Operational Risk Management

Board-approved framework covering cyber risks, business continuity, and third-party dependencies

Incident Reporting

Immediate notification to DFSA for material cyber incidents

Regular Testing

Annual penetration testing and resilience scenario exercises

ITSEC ensures your organization aligns with DFSA standards

Our compliance experts deliver comprehensive DFSA readiness — from cybersecurity risk management and AML frameworks to governance documentation, internal audit reviews, and DFSA inspection preparation.

Industry Certifications & Accreditations

ISO 27001 Certified

Information Security Management aligned with DFSA cybersecurity and governance standards

CREST Approved

Penetration Testing Excellence recognized for compliance with DFSA digital risk management requirements

OSCP Certified Team

Advanced Red Team & Ethical Hacking professionals for financial institutions under DFSA regulation

UAE Licensed

Authorized to deliver cybersecurity audit and compliance services for DFSA-regulated entities within the DIFC

Proven Track Record in DFSA Compliance

Numbers that speakNumbers that speak to our expertise and commitment
to our expertise and commitment

Consult Cyber Experts

ITSEC - Security Assessment

Ready to Secure Your Digital Assets?

Get a comprehensive security assessment from our expert team. Protecting businesses since 2011.

Consult Cyber Experts

NDA Protected

24hr Response

Global Coverage

ITSEC AI Security Agent

Secure

Encrypted

Online

Welcome to ITSEC — the UAE's first AI-augmented cybersecurity firm.

With 15+ years of excellence and 50+ certified experts, we protect enterprises across finance, government, and crypto sectors.

How can I secure your organization today?

DFSA Cybersecurity & Compliance Framework: 6 Core Domains

The DFSA framework defines cybersecurity and regulatory compliance standards for all financial institutions, fintechs, and regulated entities operating within the Dubai International Financial Centre (DIFC). These controls ensure operational integrity, data security, financial transparency, and regulatory readiness under DFSA supervision.

DFSA aligns with ISO 27001, NIST, and the DIFC Data Protection Law, ensuring consistent cybersecurity and governance for financial stability.

Cyber Risk Management & Governance

Structured oversight defining risk ownership, internal control systems, and governance frameworks in line with DFSA’s Risk Management Rulebook.

ITSEC Solution: Development of enterprise-wide risk registers, mitigation plans, and board-level compliance documentation.

Data Protection & Privacy Controls

Implementation of DIFC PDPL-aligned data handling, storage, and encryption mechanisms ensuring customer data integrity and regulatory compliance.

ITSEC Solution: Data classification, encryption audits, and continuous PDPL readiness assessment.

Operational Resilience & Incident Response

Crisis management frameworks designed for prompt detection, reporting, and remediation of incidents under DFSA’s Cyber Risk and Outsourcing Guidelines.

ITSEC Solution: 24/7 incident monitoring, escalation workflows, and DFSA-compliant BCP/DR planning.

IT Systems & Infrastructure Security

Technical controls ensuring secure configurations, access restrictions, and vulnerability management for IT and trading systems in regulated financial environments.

ITSEC Solution: Vulnerability scanning, secure configuration audits, and ongoing patch management validation.

AML, CFT & Regulatory Reporting

Integration of Anti-Money Laundering and Counter-Terrorist Financing (AML/CFT) systems with automated regulatory reporting to DFSA.

ITSEC Solution: Risk-based AML framework audits, STR/SAR process reviews, and compliance automation consulting.

Third-Party & Outsourcing Risk Management

Continuous due diligence and risk assessments of vendors and technology partners to ensure DFSA outsourcing compliance.

ITSEC Solution: Third-party security audits, SLA mapping, and DFSA-aligned outsourcing governance reports.

Our DFSA Compliance Services

ITSEC ensures full compliance with the Dubai Financial Services Authority (DFSA) framework, providing expert guidance, risk management implementation, and cybersecurity assurance for financial institutions, fintechs, and regulated entities operating within the DIFC.

Operational risk framework review (DFSA Chapter 7)

Third-party risk management evaluation

Incident response capability testing

Information security governance assessment

Business continuity & disaster recovery validation

Gap analysis with detailed remediation roadmap

External & internal network penetration testing

Trading platform security testing

Cloud infrastructure security review

Web & mobile application security assessment

API security and integration testing

Wireless and remote access security

BCDR plan testing and tabletop exercises

Recovery time objective (RTO) validation

Supply chain disruption scenarios

Ransomware resilience simulation

Failover and redundancy testing

Crisis management capability assessment

CISO advisory and virtual CISO services

DFSA incident notification support

Security roadmap and strategy

Policy and procedure development

Regulatory change management

Board reporting and presentations

Why DFSA-Regulated Entities Choose ITSEC.

With over 20 years of cybersecurity and regulatory expertise, ITSEC is the trusted partner for financial institutions seeking full DFSA compliance.Our specialized security and governance framework aligns with the Dubai Financial Services Authority (DFSA) Rulebook — ensuring every control, system, and operational process meets regulatory expectations within the DIFC.

UAE-based cybersecurity and compliance specialists certified under DFSA and ISO frameworks.

Regulatory-grade audits and DFSA Rulebook-aligned reporting mechanisms.

Virtual CISO and Governance, Risk, and Compliance (GRC) program integration.

Continuous monitoring for operational resilience and financial systems security.

Proven compliance success across fintech, fund management, and regulated investment firms.

View DFSA Compliance Map (PDF)

Compliance-Ready Security Architecture

Our assessments are engineered to satisfy DFSA’s cybersecurity, data protection, and operational resilience requirements for financial and fintech entities within DIFC.

Rulebook-Aligned Testing

Every test scenario maps directly to DFSA’s Risk Management and Governance modules.

Rulebook-Aligned Testing

Each validation supports DFSA cybersecurity and operational resilience compliance under the CIR (Cyber Incident Reporting) framework.

Rulebook-Aligned Testing

All assessments ensure documentation readiness for DFSA inspection and annual recertification reviews.

ITSEC Services Mapped to DFSA’s Cybersecurity & Governance Framework

Our comprehensive compliance framework aligns every governance, risk, and cybersecurity mandate outlined in the DFSA regulatory rulebook for financial institutions operating within DIFC.

DFSA Compliance Table

DFSA Mandate	ITSEC Solution	Compliance Outcome
Governance & Internal Control (GEN & SYSC)	Development of control framework and Board-level governance documentation aligned with DFSA Rulebook	Ensures strong internal governance and operational accountability
Operational Resilience & Incident Reporting (CIR)	Implementation of DFSA-compliant BCP/DR strategy and cyber incident escalation procedures	Meets DFSA operational resilience and incident management standards
Data Protection & PDPL Compliance (DIFC Law No.5 of 2020)	Data protection assessments, encryption enforcement, and cross-border data control audits	Protects client confidentiality and fulfills DIFC PDPL obligations
Anti-Money Laundering & CFT (AML Rulebook)	Design and implementation of AML frameworks, STR/SAR reporting, and AML training programs	Achieves full AML/CFT readiness under DFSA and FATF guidelines
Technology & Cybersecurity Controls (DFSA Technology Risk)	Vulnerability testing, system hardening, and continuous monitoring aligned with DFSA’s IT control expectations	Enhances digital resilience and reduces technology risk exposure
Outsourcing & Third-Party Oversight (GEN 3.3)	Vendor risk assessments, SLA verification, and annual third-party compliance audits	Maintains DFSA compliance across all outsourced service providers

Track Your DFSA Compliance Journey

Real-time visibility into your governance, risk, and cybersecurity posture

Business Continuity & Recovery Testing

Simulate financial service disruptions to validate response and recovery capabilities in line with CIR and GEN rules.

Scenario-Based Stress Testing

Conduct impact assessments and cross-functional resilience testing across people, processes, and technology.

Incident Management Framework

Implement DFSA-compliant escalation, communication, and reporting workflows within defined recovery objectives.

Cyber Risk Governance

Identify and mitigate technology risks using DFSA’s Technology Risk Management principles.

Threat Detection & Response

Deploy advanced monitoring systems and Security Operations Center processes for real-time DFSA-compliant surveillance.

Vulnerability Management

Full certification readiness assessment for DESC compliance audits.

Outsourcing Risk Assessment

Evaluate third-party providers under DFSA’s outsourcing requirements, focusing on data control and accountability.

Service Level Assurance

Embed contractual clauses ensuring DFSA compliance, performance metrics, and data confidentiality obligations.

Continuous Oversight

24/7 security operations center setup and threat monitoring.

Regulatory Alignment

Establish policies and control frameworks that align with DFSA’s COB and GEN modules for operational soundness.

Board & Senior Management

Define cybersecurity oversight responsibilities and evidence governance involvement in DFSA annual attestations.

Internal Audit Coordination

Integrate audit trails and compliance testing with DFSA’s technology governance and risk expectations.

Your Path to DFSA Compliance

A proven 5-step process that takes you from cybersecurity assessment to full DESC regulatory compliance.

Step 1

Initial Consultation

Discuss your DFSA license category, business model, and current governance framework to determine compliance scope and timeline.

Key Deliverables:

Scope definition ●
Governance and policy mapping ●
DFSA regulatory roadmap ●

STEP 2

Risk & Documentation Review

Evaluate policies, operational controls, and IT risk documentation against DFSA’s CIR, COB, and GEN requirements.

Key Deliverables:

● Gap analysis report
● Risk management assessment
● Compliance improvement plan

Step 3

Cyber Resilience Testing

Conduct DFSA-aligned cybersecurity simulations, penetration testing, and incident response validation across critical systems.

Key Deliverables:

Technical control validation ●
Threat simulation report ●
DFSA audit readiness summary ●

Step 4

Remediation & Governance Setup

Implement corrective actions, strengthen oversight mechanisms, and establish reporting lines for ongoing DFSA supervision.

Key Deliverables:

● Security and governance framework
● Policy and control updates
● DFSA compliance documentation

Step 5

Continuous Compliance

Maintain compliance through periodic reviews, audit preparations, and proactive risk monitoring as per DFSA’s ongoing obligations.

Key Deliverables:

Quarterly control review ●
Continuous monitoring plan ●
Annual DFSA assurance report ●

Security and Compliance Service Tiers

Tailored service tiers for DFSA-regulated firms — choose the level of compliance coverage you need, from governance to full audit readiness.

Essential Compliance

Perfect for VASPs preparing for theirfirst VARA inspection

Contact Us

Custom pricing per entity

✔ Annual Red Team Simulation (TLPT
✔ Vulnerability Assessment & Penetration Testing
✔ Basic Key Governance Framework
✔ 72-Hour Incident Response Plan
✔ DFSA-Compliant Documentation
✔ Quarterly Vulnerability Scans
✔ Email Support

Get Custom Quote

Trusted by DFSA-Licensed Leaders

Join dozens of exchanges, broker-dealers, and issuers who achieved compliance with ITSEC

"The Virtual CISO service exceeded expectations. ITSEC understood VARA requirements better than firms charging 3x their rate."

M

Michael Chen

Chief Technology Officer

"Passed VARA inspection with zero findings. ITSEC's cryptographic key governance framework is exactly what regulators wanted to see."

M

Ahmed Hassan

Head of Security

"Professional, thorough, and regulator-grade documentation. ITSEC's incident response planning was comprehensive and practical."

M

Elena Rodriguez

VP Operations

98%

Client Satisfaction

45+

VASPs Compliant

100%

Inspection Pass Rate

DFSA Compliance Case Study

The DFSA framework defines cybersecurity, risk management, and governance standards for all financial institutions operating within the DIFC. Non-compliance may result in regulatory sanctions, license restrictions, or enforcement actions.

100%

Compliance Achievement

The Challenge

A DFSA-regulated fintech firm required assurance of its compliance with CIR and COB requirements, focusing on IT controls, incident response, and outsourcing risk management. The firm also needed to validate its cybersecurity posture before the DFSA inspection.

“ITSEC’s DFSA readiness assessment gave us a clear, actionable roadmap.
The level of detail in their governance framework matched exactly what the DFSA auditors expected.”

— Chief Risk Officer, DFSA-Regulated FinTech
Dubai International Financial Centre

Key Deliverables:

☑ Governance & Risk Assessment Framework
☑ Cyber Resilience & Incident Response Plan
☑ Outsourcing & Third-Party Risk Review

☑ Technology Risk Assessment Report
☑ DFSA Control Mapping & Audit Readiness-Compliant Documentation Package
☑ Continuous Monitoring and Compliance Dashboard

The Solution

ITSEC executed a 4-week end-to-end DFSA readiness program, including control mapping, cyber risk simulation, and documentation alignment with the DFSA Operational Risk and Cyber Resilience guidelines. A Virtual CISO framework was established to maintain continuous oversight.

Weeks to Compliance

Inspection Findings

Frequently Asked Questions

What types of firms must comply with DFSA cybersecurity requirements?

All DFSA-regulated firms operating in DIFC must comply, including banks, investment firms, asset managers, insurance companies, exchanges, payment service providers, and FinTech platforms with financial services licenses.

How often is penetration testing required?

DFSA expects annual independent penetration testing for all material systems. High-risk firms (e.g., exchanges, large banks) may require more frequent testing.

What is the incident reporting process to DFSA?

Material cybersecurity incidents must be reported to DFSA immediately upon discovery. We assist with incident assessment, notification, and regulatory liaison.

Does DFSA require specific security certifications?

While not mandatory, ISO 27001, SOC 2, and PCI DSS (for payment processors) are highly valued by DFSA as evidence of robust security frameworks.

How does DFSA compliance differ from CBUAE?

DFSA focuses on operational risk and resilience for DIFC firms, while CBUAE regulates UAE-licensed banks outside DIFC. Requirements overlap significantly but reporting structures differ.

What are the penalties for non-compliance?

DFSA can impose fines, license restrictions, or revocation for material cybersecurity deficiencies. Penalties depend on severity and impact.

ITSEC - Security Assessment

Ready to Secure Your Digital Assets?

Get a comprehensive security assessment from our expert team. Protecting businesses since 2011.

Consult Cyber Experts

NDA Protected

24hr Response

Global Coverage

ITSEC AI Security Agent

Secure

Encrypted

Online