Cybersecurity Threats to Finance in Sweden Intensify Amid Global Tensions

Introduction

A recent threat assessment conducted by Swedish banks reveals a deteriorating security policy situation, with Russia’s invasion of Ukraine in February 2022 significantly impacting the country’s financial sector. The report highlights increased threats from cyber attacks, insider risks, and financial crime, which have become more sophisticated and targeted.

Threats to Banks

• Cyber Attacks: Ransomware attacks against financial companies have increased, albeit from a low starting point.
• Insider Risks: Foreign states can employ networks of insiders to gather intelligence, destabilize the economy, or influence political decisions.
• Financial Crime: The report notes that insider risks have become a significant concern.

Increased Harassment and Violence Against Bank Staff

The number of harassment, personal threats, and violence against bank staff has increased, with many employees fearful of representing their bank in legal contexts.

Threats to Critical Infrastructure

• Sabotage: The sabotage of gas pipelines and telecommunications cables in the immediate area has highlighted the threat to critical infrastructure.
• Denial-of-Service Attacks: Denial-of-service attacks against banks have continued but with limited impact.

Exploitation of Technical Vulnerabilities

The rapid exploitation of technical vulnerabilities by threat actors is a growing concern, as well as the use of AI for fraudulent purposes against both customers and bank staff.

Money Laundering Threats

• Fraud: Companies are being employed as tools for financial crime, with straw men used to hide the real operators.
• Tax Crimes: The exploitation of the welfare system, currency exchange, cash handling, cryptocurrencies, the real estate market, luxury consumption, and the gambling sector are all risk areas.

Suspected Terrorist Financing via Cryptocurrencies

The number of cases of suspected terrorist financing via cryptocurrencies has increased, posing a significant risk factor as banks often have no access to information about how such financing is carried out and who is involved.

International Sanctions

International sanctions have become an increasingly important means of exerting pressure on foreign and security policy, but it has also become more difficult for operators to understand and apply the sanctions.

Conclusion

The report emphasizes the need for greater information, cooperation, and dialogue between actors in the field of sanctions to mitigate these risks. A safe working environment for bank staff is not only the responsibility of banks but also part of a broader societal commitment. The Swedish financial sector must continue to work together to address these emerging threats and ensure the security and stability of the country’s financial systems.