ADVERTISEMENT
TechEconomy
Thursday, June 5, 2025
No Result
View All Result
  • News
  • Tech
    • DisruptiveTECH
    • ConsumerTech
      • Accessories
      • Phones
      • Laptop
      • Gadgets and Appliances
      • Apps
    • How To
    • TechTAINMENT
  • Business
    • Telecoms
      • Broadband
    • Mobility
    • Environment
    • Travel
    • Commerce
    • StartUPs
    • TE Insights
    • Security
  • Partners
  • Economy
    • Finance
    • Fintech
    • Digital Assets
    • Personal Finance
    • Insurance
  • Features
    • IndustryINFLUENCERS
    • Guest Writer
    • Appointment
    • EventDIARY
    • Editorial
  • Apply
  • TecheconomyTV
  • Techeconomy Events
  • BusinesSENSE For SMEs
  • TBS
  • News
  • Tech
    • DisruptiveTECH
    • ConsumerTech
      • Accessories
      • Phones
      • Laptop
      • Gadgets and Appliances
      • Apps
    • How To
    • TechTAINMENT
  • Business
    • Telecoms
      • Broadband
    • Mobility
    • Environment
    • Travel
    • Commerce
    • StartUPs
    • TE Insights
    • Security
  • Partners
  • Economy
    • Finance
    • Fintech
    • Digital Assets
    • Personal Finance
    • Insurance
  • Features
    • IndustryINFLUENCERS
    • Guest Writer
    • Appointment
    • EventDIARY
    • Editorial
  • Apply
  • TecheconomyTV
  • Techeconomy Events
  • BusinesSENSE For SMEs
  • TBS
No Result
View All Result
Tech | Business | Economy
No Result
View All Result
Podcast

Home » Cyber Incidents Top Concern for Financial Services Sector in 2024 – Allianz Risk Barometer Reveals

Cyber Incidents Top Concern for Financial Services Sector in 2024 – Allianz Risk Barometer Reveals

Adetunji Tobi by Adetunji Tobi
June 3, 2024
in Finance
1
Lagos Business district, marina Lagos, Nigeria Economy, business growth, financial services sector
Marina Lagos

Marina Lagos

RelatedPosts

Hot money in Nigeria - Naira | official market

Naira Strengthens Further in Official Market, Closes at N1,565/$1

June 5, 2025

Naira Appreciates to N1,579/$1 as Market Confidence Grows

June 4, 2025

Quick look:

  • Data breaches, attacks on critical infrastructure or physical assets and increased ransomware attacks keep cyber concerns at #1 with 43% of responses.
  • Macroeconomic developments is second with 26% of responses as inflation remains one of the most difficult risks to manage this year.
  • Businesses need to implement proactive risk management strategies to safeguard their operations.

The financial services sector is facing a growing threat from Cyber incidents, according to the Allianz Risk Barometer.

The report highlights that cyber incidents have emerged as the primary concern for financial institutions in 2024, with 43% of respondents ranking it as a significant risk.

This alarming trend is further exacerbated by the recent surge in ransomware attacks, which has seen insurance claims activity increase by over 50% compared to 2022.

The Allianz Risk Barometer, an annual survey conducted by Allianz Commercial, gathered insights from industry experts and executives across the financial services sector and other industries.

  • The survey revealed that cyber incidents are followed closely by Macroeconomic developments and Changes in legislation and regulation, both ranking at 26%. Business interruption and Natural catastrophes also pose significant risks, with 22% of respondents expressing concern about each.
Allianz Risk Barometer
Advertisements
MTN ADS
Top 5 risks in Financial Services 2024. Source: Allianz Risk Barometer

Hackers are increasingly targeting IT and physical supply chains, launching mass cyber-attacks, and finding new ways to extort money from businesses.

As a result, early detection and response capabilities and tools are becoming increasingly crucial. Investment in detection backed by artificial intelligence is expected to enhance incident identification.

Without effective early detection tools, companies may experience longer unplanned downtime, increased costs, and a greater impact on customers, revenue, and reputation.

“Cyber criminals are exploring ways to use new technologies such as generative artificial intelligence (AI) to automate and accelerate attacks, creating more effective malware and phishing. The growing number of incidents caused by poor cyber security, in mobile devices in particular, a shortage of millions of cyber security professionals, and the threat facing smaller companies because of their reliance on IT outsourcing are also expected to drive cyber activity in 2024, “explains Santho Mohapeloa, Cyber Insurance Expert, Allianz Commercial.

In addition to cyber incidents, financial services respondents also highlighted macroeconomic developments factors such as inflation, which is one of the most difficult risks to manage in 2024.

The impact of inflation can have long-term consequences, with investments taking a while to regain value even after the economy seemingly recovers. Furthermore, inflation triggers higher interest rates, which increases net interest income but slows down loan demand and brings a higher default risk.

Compliance ranks as one of the biggest challenges for financial services companies, with legislation and regulation constantly evolving around digitization, climate change, and environmental, social, and governance (ESG) issues.

The compliance burden for financial institutions has significantly increased over the past decade, with regulatory enforcement intensifying.

  • To navigate these challenges, financial institutions must improve the effectiveness and efficiency of their compliance activities and make wise use of data and technology.

Business interruption poses significant risks to the financial services industry, including disruptions to operations, loss of revenue, reputational damage, and regulatory compliance challenges.

Cyber incidents and natural catastrophes are the top two causes of business interruption feared most by companies, followed by fire and machinery/equipment breakdown or failure.

To mitigate these risks, companies must focus on improving business continuity management, identifying supply chain bottlenecks, and developing alternative suppliers.

Natural catastrophes present significant risks to the financial services industry, including physical damage to infrastructure, disruption of operations, increased insurance claims, and potential liquidity challenges. The financial implications of natural disasters were underscored by the USD 82 billion in insured losses globally in 2021.

To effectively manage these risks, financial institutions must prioritize robust risk modeling, diversification strategies, and disaster preparedness measures.

The Allianz Risk Barometer serves as a valuable tool for financial services companies to identify and address the most pressing risks they face.

By understanding these risks and implementing proactive risk management strategies, companies can safeguard their operations, protect their customers, and maintain financial stability in an increasingly volatile global business environment.

Loading

Author

  • Adetunji Tobi
    Adetunji Tobi

    Tobi Adetunji is a Business Reporter with Techeconomy. Contact: adetunji.tobi@techeconomy.ng

    View all posts
0Shares
Tags: financial services sector
Previous Post

Saudi Spend Management Platform SiFi Secures $10 Million Seed Round

Next Post

BREAKING: PalmPay Resumes Onboarding of New Customers

Adetunji Tobi

Adetunji Tobi

Tobi Adetunji is a Business Reporter with Techeconomy. Contact: adetunji.tobi@techeconomy.ng

Related Posts

Hot money in Nigeria - Naira | official market
Finance

Naira Strengthens Further in Official Market, Closes at N1,565/$1

by Peter Oluka
June 5, 2025
0

The naira continued to strengthen in the official market on Wednesday, closing at N1,565/$1, a 0.89% appreciation from the previous...

Read more
Naira vs Dollar | Asset management

Naira Appreciates to N1,579/$1 as Market Confidence Grows

June 4, 2025
Tony Elumelu, chairman of UBA

Tony Elumelu Buys N43.9bn Worth of UBA Shares to Boost Stake

June 3, 2025
NairaWatch, Naira and dollar

Naira Appreciates, Closes at N1,582/$1 in Official Market

June 3, 2025
Agentforce for financial services by Salesforce

Salesforce Introduces Agentforce for Financial Services to Address Shrinking Workforces

June 2, 2025
Segun Alebiosu, CEO, FirstBank China-Africa Interbank Association | FirstBank Agent Credit

FirstBank Disburses N1billion in One Day via Agent Credit Scheme

June 2, 2025
Next Post
PalmPay --- KPMG recognises PalmPay

BREAKING: PalmPay Resumes Onboarding of New Customers

Comments 1

  1. Pingback: Egyptian Fintech Connect Money Raises $8 Million in Seed Funding to Expand BaaS Platform

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

I agree to the Terms & Conditions and Privacy Policy.

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Techeconomy Podcast

Techeconomy Podcast
Techeconomy Podcast

Infowave is brought to you by TechEconomy. Every week we will bring new stories from startups and influencers who are shaping and changing the world we live in. We’ll also bring you reports on topics you should know.

Follow us @techeconomyng for more.

TECH TALK EPISODE 2
byTecheconomy

PRODUCTIVITY AND WORK-Life Balance

TECH TALK EPISODE 2
TECH TALK EPISODE 2
May 22, 2025
Techeconomy
CYBERSECURITY ESSENTIALS
April 24, 2025
Techeconomy
Digital Marketing Trends and strategies for 2025 and beyond
February 27, 2025
Techeconomy
Major Lesson for Techies in 2024 and Projections for 2025
December 6, 2024
Techeconomy
Major Lessons for Techies in an AI-Driven World | Techeconomy Business Series Highlights
November 26, 2024
Techeconomy
Maximizing Profitability Through Seasonal Sales: Strategies For Success
November 8, 2024
Techeconomy
Techeconomy Business Series
October 15, 2024
Techeconomy
PRIVACY IN THE ERA OF AI: GETTING YOUR BUSINESS READY
May 30, 2024
Techeconomy
Unravel the Secrets of Marketing Everywhere All At Once with Isaac Akanni from Infobip | Infowave Podcast Episode 1
February 9, 2024
Techeconomy
The Role of Ed-tech in Life Long Learning and Continuous Education
October 19, 2023
Techeconomy
Search Results placeholder

WHAT IS TRENDING

https://www.youtube.com/watch?v=g_MCUwS2woc&list=PL6bbK-xx1KbIgX-IzYdqISXq1pUsuA4dz

Follow Us

  • About Us
  • Contact Us
  • Careers
  • Privacy Policy

© 2025 Techeconomy - Designed by Opimedia.

No Result
View All Result
  • News
  • Tech
    • DisruptiveTECH
    • ConsumerTech
      • Accessories
      • Phones
      • Laptop
      • Gadgets and Appliances
      • Apps
    • How To
    • TechTAINMENT
  • Business
    • Telecoms
      • Broadband
    • Mobility
    • Environment
    • Travel
    • Commerce
    • StartUPs
    • TE Insights
    • Security
  • Partners
  • Economy
    • Finance
    • Fintech
    • Digital Assets
    • Personal Finance
    • Insurance
  • Features
    • IndustryINFLUENCERS
    • Guest Writer
    • Appointment
    • EventDIARY
    • Editorial
  • Apply
  • TecheconomyTV
  • Techeconomy Events
  • BusinesSENSE For SMEs
  • TBS

© 2025 Techeconomy - Designed by Opimedia.

Translate »
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.