The European Supervisory Authorities have identified external dependencies, emerging technologies, and private credit as key vulnerabilities for the EU financial system. They warn that reliance on non-EU providers and infrastructures amplifies geopolitical shock impacts and operational disruptions. Dependence on non-EEA ICT service providers and growing cyber risks from AI are particular concerns. The rapid growth and limited transparency of private credit markets also present potential risks, despite their current small size in the EU.However, the EU financial system has demonstrated resilience, with strong fundamentals in investment funds, insurers, and banks. Despite this resilience, geopolitical tensions, cyber threats, natural catastrophes, and technological developments continue to shape the risk outlook. Supervisors and market participants are urged to enhance preparedness and closely monitor these emerging risks. Specifically, the ESAs call for strengthening resilience through crisis preparedness, resolution coordination, and adaptable regulation. Proactive monitoring of risks related to external dependencies, private credit, and AI is also recommended. This includes managing exposures to non-EEA entities and monitoring dependencies on non-EU/EEA service providers.