Cyberattack Trends in the Financial Sector: Assessing the Risks and Strategies for Resilient Defense

• Author(s): Olusegun Adedeji
• Paper ID: 1707045
• Page: 936-945
• Published Date: 31-05-2023
• Published In: Iconic Research And Engineering Journals
• Publisher: IRE Journals
• e-ISSN: 2456-8880
• Volume/Issue: Volume 6 Issue 11 May-2023

Abstract

Cyberattacks on financial institutions have escalated globally, posing significant threats to the secure flow of capital and information. As the financial sector increasingly embraces digital innovations such as mobile banking, cloud infrastructure, and real-time payment solutions, the attack surface has expanded, making institutions more susceptible to cyber threats. This study conducts a systematic literature review (SLR) to identify prevalent cyberattack tactics, assess their impact on financial institutions, and propose resilience strategies. The findings highlight phishing, ransomware, and distributed denial-of-service (DDoS) attacks as the most common threats, with third-party vulnerabilities and legacy system exploitation also emerging as critical risks. The study underscores the financial, reputational, and operational consequences of cyber incidents, including monetary losses, regulatory penalties, and erosion of consumer trust. To enhance resilience, financial institutions must adopt a multi-layered cybersecurity approach that integrates advanced technical controls, such as encryption and AI-driven threat detection, with robust organizational measures, including employee training and incident response planning. The study also emphasizes the need for regulatory alignment with evolving cyber threats and improved collaboration between stakeholders. Institutional Theory and Resilience Theory provide a theoretical foundation for understanding how financial organizations can balance compliance with proactive security measures. This research contributes to cybersecurity literature by consolidating empirical insights and offering practical recommendations for financial institutions to mitigate evolving threats. Future research should explore emerging technologies like the Internet of Things (IoT) and quantum computing to address new vulnerabilities. Ultimately, financial institutions must prioritize resilience to safeguard assets, maintain trust, and ensure business continuity in an increasingly complex digital landscape.

Citations

IRE Journals:
Olusegun Adedeji "Cyberattack Trends in the Financial Sector: Assessing the Risks and Strategies for Resilient Defense" Iconic Research And Engineering Journals Volume 6 Issue 11 2023 Page 936-945

IEEE:
Olusegun Adedeji "Cyberattack Trends in the Financial Sector: Assessing the Risks and Strategies for Resilient Defense" Iconic Research And Engineering Journals, 6(11)