Financial Institutions Prioritize Cybersecurity Maturity Amid Growing Threats

As financial institutions continue to adopt emerging technologies, they are increasingly recognizing the need for robust cybersecurity measures to protect their environments. A recent survey highlights the importance of compliance with regulations and defense against outside threats in driving efforts to mature cybersecurity capabilities.

Compliance Drives Cybersecurity Efforts

The survey found that 70% of financial services organizations believe increased compliance with regulations is a key factor in maturing their cybersecurity capabilities. This sentiment is likely due to the growing regulatory landscape surrounding financial institutions, particularly in areas such as artificial intelligence and cloud computing.

Regulatory landscape: Financial institutions are facing an increasingly complex regulatory environment, which drives the need for robust cybersecurity measures.
Compliance: 70% of respondents believe compliance with regulations is a key factor in maturing their cybersecurity capabilities.

Cybersecurity Talent Acquisition and Upskilling

Meanwhile, 65% of respondents cited concerns about gaining and retaining appropriately skilled cybersecurity talent. As companies look to address security capability gaps, they are relying on a combination of recruiting new talent and upskilling existing employees.

Talent acquisition: Financial institutions face challenges in acquiring and retaining skilled cybersecurity professionals.
Upskilling: Companies are investing in upskilling existing employees to bridge the skills gap.

Underspending on Cybersecurity

Despite these efforts, many financial institutions acknowledge that they are underspending on cybersecurity. A staggering 70% of survey respondents believe they should increase their cybersecurity spending by more than 20% to build the necessary capabilities. This sentiment is reflected in the fact that only 13% of IT budgets currently allocate funds specifically for cybersecurity.

Underspending: Financial institutions recognize the need to increase cybersecurity spending to address growing threats.
Budget allocation: Only 13% of IT budgets currently allocate funds specifically for cybersecurity.

Regional Banks’ Cybersecurity Spending

Regional banks, or Tier 2 institutions, are expected to see significant growth in cybersecurity spend over the next two to three years, as they near the Tier 1 capital threshold and anticipate increased scrutiny from regulators.

Regional banks: Tier 2 institutions will likely increase cybersecurity spending as they approach Tier 1 capital thresholds.
Regulatory scrutiny: Increased regulatory scrutiny drives the need for robust cybersecurity measures.

Future-Proofing Cybersecurity

To future-proof their environments, financial institutions must take a proactive approach to security. This includes laying the foundation for action by asking key questions about technology priorities, metrics, and reporting. Companies must also prioritize investing in the right technologies, such as identity and access management (IAM) capabilities.

Proactive approach: Financial institutions must take a proactive approach to security to future-proof their environments.
Technology investment: Investing in the right technologies, such as IAM capabilities, is crucial for cybersecurity maturity.

The Time for Action is Now

Ultimately, the time for action is now. As emerging technologies continue to evolve at a rapid pace, financial institutions must stay ahead of the curve to mitigate growing cyber risks. By prioritizing cybersecurity maturity and investing in the right technologies and talent, these organizations can better protect their environments and maintain trust with customers.

The need for action: Financial institutions must take immediate action to address growing cyber threats.
Cybersecurity maturity: Prioritizing cybersecurity maturity is crucial for protecting environments and maintaining customer trust.