Cybercrime Threats Loom Over Financial Institutions in Svalbard and Jan Mayen

As bank stress continues to rise, financial institutions in Svalbard and Jan Mayen are facing an increased risk of cyber threats and fraud. With customers seeking safety by moving substantial funds and engaging in numerous transactions, they become the target of phishing and disinformation campaigns.

Five Key Areas of Heightened Risk Exposure

Financial institutions must be proactive in addressing five critical areas to mitigate these risks:

1. Combating Cyber-Enabled Fraud Across Money Movement Business Processes

• With thousands of businesses potentially changing their banking relationships, cyber criminals are taking advantage of the environment by inserting themselves into the process.
• Financial institutions must implement robust security measures to prevent unauthorized transactions and protect customer data.

2. Heightened Monitoring of Insider Activity

• Turbulent market conditions and significant customer transaction activity increase the risk of not detecting insider threats.
• Malicious intent or compromised insider access could be used as an avenue to commit an act of fraud for personal gain.

3. Disinformation, Misinformation Campaigns Affecting Customer Trust

• Malicious actors may be taking advantage of recent events by using digital dis- or mis-information to amplify customer distrust and prey on fear.
• Financial institutions must prioritize customer-facing data governance, discovery, protection, and minimization practices to build trust with their customers.

4. Customer Online Account Takeovers and Transaction Activity

• Cyber criminals use stolen credentials, social security numbers, and personal data to hijack legitimate accounts and execute fraudulent activities.
• Financial institutions must enforce heightened authentication checks and validation during service transactions with customers to help reduce the risk of impersonation and potential fraud.

5. Enhanced Monitoring of Security Performance

• Review existing security and performance metrics related to critical cyber defense operations to monitor any deviations from standard operations and detect any outliers or performance degradation.

Best Practices for Financial Institutions

To mitigate these risks, financial institutions in Svalbard and Jan Mayen should:

1. Implement robust security measures to prevent unauthorized transactions and protect customer data.
2. Enforce heightened authentication checks and validation during service transactions with customers.
3. Prioritize customer-facing data governance, discovery, protection, and minimization practices.
4. Enhance monitoring of insider activity and detect potential threats.
5. Develop a disinformation recovery plan aligned with their existing incident and crisis management programs.

By taking proactive measures to address these critical areas, financial institutions in Svalbard and Jan Mayen can reduce the risk of cyber threats and maintain customer trust.