Emmanuel Ojukwu
The International Monetary Fund (IMF) revealed that 56 percent of central banks or supervisory authorities in a survey of 51 countries do not have a national cyber strategy for the financial sector.
The IMF noted that 42 percent of these institutions lack dedicated cybersecurity or technology risk-management regulations, and 68 percent do not have a specialized risk unit within their supervision department.
“64 percent do not mandate testing and exercising cyber security measures or providing further guidance. 54 percent lack a dedicated cyber incident reporting regime and 48 percent do not have cybercrime regulations,” the IMF said in an article titled “Mounting cyber threats mean financial firms urgently need better safeguards.”
The IMF highlighted that cyber attackers persistently target the financial sector.
Due to the tight financial and technological interconnections within the sector, attacks can rapidly spread throughout the system, potentially leading to widespread disruption and loss of confidence. Cybersecurity is therefore a significant threat to financial stability.
A recent IMF survey of 51 countries revealed that most financial supervisors in emerging markets and developing economies have not introduced cybersecurity regulations or developed the resources necessary to enforce them.
In order to neutralise the cyber threat, the IMF urged financial institutions and regulators to prepare for heightened cyber threats and potential successful breaches.
