Central Bank of Jordan Circular on COBIT 2019 Implementation

CENTRAL BANK OF JORDAN

Circular on the Implementation of the COBIT 2019 Framework for IT Governance and Management

Reference: eda1d68d-37ae-4948-bf90-efbd776eac4b

Date: [Date Redacted]

To: All Licensed Financial Institutions

Subject: Implementation of COBIT 2019 Framework

1. Introduction

The Central Bank of Jordan (CBJ) has issued this circular to guide licensed financial institutions in adopting the COBIT 2019 framework for IT governance and management. This framework, developed by ISACA, provides a comprehensive set of tools and best practices to help organizations achieve their business goals through effective IT governance and management.

2. Objectives of COBIT 2019

The COBIT 2019 framework is designed to help organizations achieve the following goals:

• Enterprise Goals: Aligning IT with business strategy to create value.
• Alignment Goals: Ensuring that IT resources are managed effectively to support business objectives.
• Governance and Management Objectives: Establishing clear roles and responsibilities for IT governance and management.

3. Key Components of COBIT 2019

The COBIT 2019 framework consists of several key components, known as enablers or components, which include:

• Design Factors: Customizable factors that allow organizations to tailor the framework to their specific needs.
• Focus Areas: Specific areas of focus that address emerging trends and challenges in IT governance and management.
• Capability Levels: A maturity model that assesses the capability of an organization's processes, ranging from Non-Implemented (0) to Fully Achieved (5).

4. Implementation Requirements

Licensed financial institutions are required to implement the COBIT 2019 framework as follows:

• Assess Current State: Evaluate the current state of IT governance and management against the COBIT 2019 framework.
• Define Target State: Establish a target state that aligns with the institution's business goals and risk appetite.
• Develop Implementation Plan: Create a detailed plan for transitioning from the current state to the target state, including timelines, resources, and responsibilities.
• Monitor and Improve: Continuously monitor the implementation process and make necessary improvements to ensure ongoing alignment with business objectives.

5. Capability Levels

The COBIT 2019 framework defines six capability levels, ranging from Non-Implemented (0) to Fully Achieved (5). Licensed financial institutions are expected to achieve at least a Capability Level of 3 (Defined) for critical processes, with a long-term goal of reaching Capability Level 4 (Predictably Managed) or higher.

6. Reporting and Compliance

Licensed financial institutions must submit a report to the Central Bank of Jordan detailing their implementation progress and compliance with the COBIT 2019 framework. The report should include:

• Current Capability Levels: Assessment of the current capability levels for key IT governance and management processes.
• Implementation Plan: Details of the implementation plan, including timelines and milestones.
• Challenges and Mitigation Strategies: Identification of any challenges faced during implementation and the strategies employed to address them.

7. Conclusion

The adoption of the COBIT 2019 framework is essential for licensed financial institutions to ensure effective IT governance and management. The Central Bank of Jordan encourages all institutions to fully embrace this framework and strive for continuous improvement in their IT governance practices.

For further information or assistance, please contact the Central Bank of Jordan at info@cbj.gov.jo or visit www.cbj.gov.jo.

Central Bank of Jordan [Signature] [Name] [Title] [Date]