The evolution of cybersecurity in banking
Emerging threats, regulatory impacts, and cyber risk management
CHANGES in the banking sector associated with new digital initiatives have ushered in an unprecedented number of cybersecurity risks.
As seen in recent times, key activities in the financial ecosystem can be disrupted by cyber incidents, so risk management and secure network protocols have become indispensable. With cybercriminals relentlessly pursuing financial gain, data breaches are becoming more frequent and sophisticated, highlighting vulnerabilities in this industry.
We are facing a highly competitive landscape in which traditional banks, financial technology disruptors and fintechs are aiming to win the market, and for success in this, delivering a seamless digital experience is crucial. However, such institutions must be aware of potential vulnerabilities while trying to win the innovation race. Adopting digital technologies is essential, but so is ensuring that these technologies are safeguarded against constantly evolving threats.
Cybersecurity in banking
Within the changing digital landscape of the banking system, security teams are at the forefront of this complex battle. The financial sector is a favourite target for cyber attackers seeking monetary gain, theft of consumers’ personal data, theft of corporate secrets, and disruption of digital services and banking operations to attract publicity for their social or political causes. In fact, the relationship between finance and cybercrime is currently a major concern globally, according to Interpol. According to the European Union Agency for Cybersecurity (ENISA), more than 10 terabytes of data are stolen monthly and 60 per cent of organisations may have paid some ransomware ransom. As digitisation becomes a paramount need for the industry and risks increase, executive teams must ensure the resilience of their operations, compliance with government and industry regulation and effectiveness of their cybersecurity infrastructure in order to safeguard against the expanding attack surface.
The value of cybersecurity for the banking industry
In order to remain competitive and resilient in this environment, our financial institutions must continue to innovate and ensure that those innovations are secure. This dual mandate is made even more challenging by the expanding attack surface, driven by the increased use of digital banking, fintechs and cryptocurrency systems. Key cybersecurity issues in banking include:
Visibility: Due to the rise of mobile banking, smart devices, and cloud services, it’s essential to have a clear view of what’s happening on your network. As the cyberthreat landscape becomes increasingly complex, having clear visibility into all activities on the network is crucial to prevent data breaches and manage risk.
Modern Automation with AI: The era of siloed security solutions is fading away. Modern cybersecurity demands solutions integrated with artificial intelligence (AI) that can be used to automate tasks, reduce human errors and the need for constant monitoring, and proactively respond to AI-driven cyber threats and attacks.
Flexibility: IT architectures, which include multi-cloud environments and on-premise deployments, must streamline their security controls and policies. As financial institutions navigate the complexities of digital transformation, their security solutions must be adaptable, ensuring that security policies integrate seamlessly with infrastructure changes.
Compliance: With central banks and other authorities emphasising cyber-resilience regulations, security teams must strike a balance between adhering to these regulations while proactively defending against cyberthreats.
Finally, the human factor should not be overlooked. Beyond technology, financial institutions need trained professionals who can leverage the potential of new platform systems. The limited availability of specialists in these areas and the knowledge gap in understanding products, processes and systems represent an additional risk.
As the banking sector continues its digital journey, there are a few key factors to ensure success: an agile, holistic and informed approach to cybersecurity; adopting new digital initiatives to converge networks and security; empowering the workforce; and automating processes.
Fortinet’s aim is to provide services aimed at securing people, devices and data in this ever-evolving digital world. Today, Fortinet delivers cybersecurity everywhere customers need it with the largest integrated portfolio of over 50 enterprise-grade products. The company aims to eliminate the global cybersecurity skills shortage by maintaining one of the largest and broadest training programmes in the industry with a focus on diversifying talent. They also aim to foster awareness of cooperation against cyberthreats and cybercrimes, by partnering with public and private organisations to help shape the future of cyberthreat mitigation and share actionable threat intelligence for today’s evolving digital world.
Jaime Chanaga is a field CISO in Fortinet for Latin America, the Caribbean and Canada.