Financial Crime World

Financial Institutions Prioritize Cybersecurity Amid Regulatory Compliance and Emerging Threats

Cybersecurity Maturity Driven by Regulatory Compliance and Growing Need to Defend Against Outside Threats

A recent survey has revealed that financial institutions are recognizing the importance of cybersecurity maturity, driven by increased compliance with regulations and a growing need to defend against outside threats. The findings highlight the critical role of regulatory compliance in driving investment in cybersecurity capabilities.

Key Findings

  • Regulatory Compliance Drives Cybersecurity Maturity: 70% of respondents reported that increased compliance with regulations has led to maturation of their cybersecurity capabilities.
  • Increased Protection Against Security Breaches: 65% cited the desire for increased protection against security breaches as a key factor in prioritizing cybersecurity.
  • Underspending in Cybersecurity: 70% believe they should increase spending more than 20% to build necessary cybersecurity capabilities.

Emerging Technologies and Budget Constraints

The survey highlights the growing importance of emerging technologies such as cloud and applied AI, which require financial institutions to invest in special initiatives and controls to secure their environments. However, this increased investment is expected to strain already tight budgets.

Addressing Cybersecurity Challenges

To address these challenges, companies are turning to internal talent and upskilling existing staff to close security capability gaps. However, 65% of respondents expressed concerns about gaining and retaining appropriately skilled cybersecurity talent.

Future-Proofing Environments

The survey concludes by emphasizing the need for financial institutions to take proactive steps to future-proof their environments. This includes laying the foundation for action by asking themselves four key questions:

  • Technology Priorities: Do we have the right technology priorities and are they aligned with our security capabilities?
  • Metrics and Reporting: Do we have the right metrics and reporting in place?
  • Investment Priorities: Are we investing in the right things?
  • Talent Acquisition: Do we have the necessary talent to address emerging technology-related security risks?

Conclusion

The findings of this survey underscore the critical importance of cybersecurity maturity for financial institutions, particularly as they navigate an increasingly complex regulatory landscape and evolving threat environment. By prioritizing cybersecurity and taking proactive steps to future-proof their environments, financial institutions can ensure the security and integrity of their operations.