A new report has revealed that cyberattacks could inflict unprecedented financial damage on the global economy, with costs projected to soar to $10.5 trillion by 2025, $12 trillion by 2026, and a staggering $16 trillion by 2030.
These alarming figures were highlighted by the founder of Digital Encode, Adewale Obadare, during his keynote address on “Cybersecurity & Compliance in Financial Services,” at the 2024 Nigeria ICT Impact CEO Forum, in Lagos.
Obadare who was represented by Digital Encode chief information security officer, Kayode Olatunji, emphasised the urgent need for organisations, particularly in the financial sector, to bolster their cybersecurity measures to mitigate the growing risks.
He stressed the urgent need for robust cybersecurity measures to protect against these growing threats. He highlighted the increasing complexity of the cyber threat landscape, driven by the rapid advancement of technology and the rise of sophisticated cyberattacks.
Obadare emphasised the critical relationship between cybersecurity and compliance, likening them to “Siamese twins.” He stated that both elements are essential for creating the “reasonable assurance” necessary to mitigate risks and foster trust within the industry.
With the financial services sector a prime target for cybercriminals due to the sensitive nature of the data it handles, Obadare highlighted the role of technological advancements in both transforming and complicating security efforts. Innovations such as artificial intelligence, blockchain, and cloud computing offer immense potential but also expose organisations to sophisticated cyber threats.
“Nigeria is at the forefront of technological innovation,” he noted, pointing to the rapid adoption of AI and blockchain in the region. However, he warned that this progress requires a parallel commitment to robust cybersecurity measures.
To counter the escalating threats, Obadare outlined a proactive approach, urging organisations to move beyond reactive strategies. His recommendations included adopting AI-powered solutions for incident response, fostering a culture of security awareness, and investing in cutting-edge protective technologies.
Key strategies he proposed included robust data protection, comprehensive employee training, advanced risk assessment, and incident response planning. Additionally, he stressed the importance of collaboration within the industry to address shared vulnerabilities.
By implementing these measures, Obadare believes financial institutions can not only protect their assets but also maintain the trust of customers in an increasingly digital economy.
