Cybercrime is one of the fastest-growing threats in the modern digital age, with the African continent experiencing a significant share of its impact. According to a report by the International Telecommunication Union (ITU), Africa loses over $3.5 billion annually to cyberattacks.
The stakes are even higher in Nigeria, the epicentre of Africa’s digital transformation. With its vibrant FinTech sector, an expanding digital economy, and a banking industry worth trillions of naira, Nigeria is a lucrative target for cybercriminals. From phishing scams to sophisticated ransomware attacks, the country’s financial institutions are increasingly under siege.
The urgency to combat cyber threats and bolster cyber resilience cannot be overstated. Recognising this, Digital Jewels Africa, in partnership with The Chartered Institute of Bankers of Nigeria (CIBN), recently hosted a workshop titled “A Cyber Resilience Table Top Simulation Exercise for Board Members and Executive Management of Banks.” This high-impact event, held in Lagos, brought together key stakeholders in the banking and FinTech ecosystems to explore actionable strategies for fortifying Nigeria’s financial sector against cyber risks.
As Nigerian banks and FinTechs embrace digital transformation, they encounter a complex web of cyber risks. Cybercriminals are no longer isolated hackers; they are part of well-organized syndicates leveraging advanced tools to exploit vulnerabilities in financial systems. Reports indicate that Nigeria’s banking sector alone lost over $500 million to cybercrime in 2022. With rising interconnectivity and the proliferation of digital payment platforms, financial institutions must adopt a proactive stance to safeguard their systems and data.
Key drivers of cyber threats in Nigeria include:
- Rapid Digitalization: The adoption of digital banking and mobile money solutions has skyrocketed, introducing vulnerabilities that cybercriminals exploit.
- Third-Party Risks: Increased reliance on third-party service providers creates additional entry points for attacks.
- Human Error: Social engineering attacks, such as phishing, thrive on exploiting human weaknesses, making cybersecurity awareness crucial.
- Emerging Technologies: Innovations like Artificial Intelligence (AI) and blockchain, while transformative, introduce new layers of complexity to the cybersecurity landscape.
The Workshop: A Collaborative Approach to Cyber Resilience
Digital Jewels Africa and CIBN designed the workshop to empower banking executives and board members with the knowledge and tools needed to address these evolving challenges. The event offered a blend of thought leadership, interactive simulations, and practical insights, emphasising the importance of cyber resilience as a cornerstone of modern banking.
Keynote Highlights
- The Role of Leadership in Cybersecurity Dele Alabi, First Vice President of CIBN, stressed the importance of proactive leadership in mitigating cyber risks. “As leaders in the banking sector, it is our responsibility to stay ahead of emerging threats and safeguard our institutions. This workshop equips us with the necessary tools and insights to strengthen our cyber resilience,” he said.
- Data as the “Digital Crown Jewels” Adedoyin Odunfa, Group Managing Director and CEO of Digital Jewels Africa, captivated the audience with her presentation on safeguarding data. She highlighted how data as the lifeblood of modern organisations can either drive growth or lead to catastrophic consequences if left unprotected. “Data is not just a resource; it’s the crown jewel of our digital economy. Protecting it must be a top priority for every institution,” Odunfa asserted.
Emerging Insights from the Workshop
- Technology as a Double-Edged Sword: Technology drives innovation, operational efficiency, and customer satisfaction. However, it also introduces vulnerabilities that can disrupt entire systems. Participants explored how balancing innovation with robust cybersecurity measures is vital for long-term sustainability.
- Artificial Intelligence: Opportunities and Risks: AI has revolutionized the banking industry, offering unparalleled capabilities in fraud detection, customer service, and risk management. However, it also comes with challenges such as bias, data privacy concerns, and potential misuse by malicious actors. The need for responsible AI governance frameworks emerged as a critical takeaway.
- Trends Shaping the Future Discussions delved into emerging trends, including the expansion of FinTech revenues, security-by-design principles, and the rising importance of digital sovereignty. The session emphasised the need for Nigerian banks to anticipate and adapt to these trends to maintain a competitive edge while staying secure.
A standout feature of the workshop was the interactive tabletop simulation exercise. Participants were immersed in real-world cyberattack scenarios, enabling them to test their responses, identify gaps, and refine their strategies. This hands-on approach underscored the importance of preparedness and agility in managing cyber incidents.
Digital Jewels Africa’s partnership with CIBN demonstrates its commitment to shaping the future of cybersecurity in Nigeria’s financial sector. As a leading IT Governance, Risk, and Compliance (GRC) consulting firm, Digital Jewels Africa is uniquely positioned to drive impactful change by offering cutting-edge solutions, capacity-building initiatives, and thought leadership.
Adedoyin Odunfa summarised the essence of the workshop: “Cybersecurity is not just a technical issue; it’s a business imperative. Through collaborations like this, we aim to equip organisations with the knowledge and tools they need to navigate an increasingly complex digital landscape.”
As Nigeria’s banking and FinTech sectors continue to evolve, the importance of cybersecurity cannot be overstated. To build a secure and resilient financial ecosystem, stakeholders must prioritize:
- Regular training for employees and executives on the latest cyber threats and best practices.
- Deploying cutting-edge solutions to detect and mitigate threats in real-time.
- Strengthening partnerships between banks, FinTechs, regulators, and cybersecurity experts to share insights and resources.
- Embracing emerging technologies while embedding security considerations into every stage of development.
The “Cyber Resilience Table Top Simulation Exercise” marks a pivotal step in Nigeria’s journey toward building a secure digital economy. By addressing the unique challenges of the banking and FinTech sectors, Digital Jewels Africa and CIBN have set the stage for a future where cyber resilience is not just an aspiration but a reality.
