Cyber crime top concern for financial services industry - survey

Cape Town - Cyber incidents are a top concern for the financial services industry, according to the Allianz Risk Barometer 2018.

Close to 2 000 risk experts in 80 countries were surveyed.

The second biggest concern in the financial services industry is changes in legislation and regulations, up from being the third biggest concern in 2017.

Business interruption was indicated as the third biggest concern this year, followed by concerns about new technologies in fourth place. According to the survey report, the concerns of business interruption and new technologies are fairly new risks in the sector.

The survey found that business disruptions due to cyber incidents is a major concern in the South African financial services sector.

As online banking increased in the country, so did cyber attacks on the networks of financial service providers. These attacks can take the form of unauthorised access or introducing malicious software on a company’s system. It could lead to a significant loss of data for a financial services company and the unavailability or control of its IT systems.

The risk barometer further shows that, while there are not many new entrants in the SA financial services sector due to stern licensing regulations, innovation and market stagnation are a cause for concern in the sector.

“Cyber incidents aren't just caused by hackers. Technical failure or malicious or innocent employee action is often to blame. Whatever the cause, reputational damage is irrevocably linked,” said Nobuhle Nkosi, head of financial lines at AGCS Africa.

* Sign up to Fin24's top news in your inbox: SUBSCRIBE TO FIN24 NEWSLETTER

We live in a world where facts and fiction get blurred
In times of uncertainty you need journalism you can trust. For 14 free days, you can have access to a world of in-depth analyses, investigative journalism, top opinions and a range of features. Journalism strengthens democracy. Invest in the future today. Thereafter you will be billed R75 per month. You can cancel anytime and if you cancel within 14 days you won't be billed. 
Subscribe to News24
Rand - Dollar
16.97
+1.2%
Rand - Pound
20.40
+0.6%
Rand - Euro
17.61
+0.8%
Rand - Aus dollar
11.44
-0.2%
Rand - Yen
0.12
+0.5%
Gold
1,755.35
+0.8%
Silver
21.32
+1.8%
Palladium
1,863.00
+0.8%
Platinum
1,005.00
+1.2%
Brent Crude
83.19
-0.5%
Top 40
67,108
+0.2%
All Share
73,465
+0.1%
Resource 10
71,821
+1.5%
Industrial 25
88,413
+0.0%
Financial 15
16,186
-1.2%
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot
Editorial feedback and complaints

Contact the public editor with feedback for our journalists, complaints, queries or suggestions about articles on News24.

LEARN MORE
Government tenders

Find public sector tender opportunities in South Africa here.

Government tenders
This portal provides access to information on all tenders made by all public sector organisations in all spheres of government.
Browse tenders