Why Financial Institutions are being hit hard by Cyber Criminals 0 1688

  • Kenyan bank accounts are at risk. Kenya lost about $175million last year to cyber crime.
  • The Serianu 2016 Kenya Cyber security Report, which highlighted that about 44% of financial institutions run on a cyber security budget of $1-1,000 annually.
  • With the increased terrorist activities within Kenya, the Internet presents national enemies such as the Al-Shabaab and other extremist groups with a unique and ubiquitous opportunities.
  • There is no existing comprehensive data protection regulation in the jurisdiction of Kenya.
Why Financial Institutions are being hit hard by cybercriminals

Kenya has been widely celebrated as one of the foremost innovators around the question of financial inclusion. With the acclaim of being the leading nation in the adoption and use of mobile banking platforms such as M-PESA and Equitel, numerous fintech start-ups are opening office in the Silicon Savannah.

In Kenya, the effect of innovation by fintech companies has been brilliantly positive. Per a 2016 Finaccess Household Survey endorsed by the Central Bank of Kenya and the Kenya National Bureau of Statistics, the number of Kenyans formally included by the financial system has grown by 50% in the last ten years.

More than 75.3% of Kenyans are formally banked

Over three-quarters (75.3%) of Kenyans are now formally included, up from 66.8% in 2013. Financial exclusion, which is now down to 17.4%, has more than halved since 2006.

Cyber crime on the rise:

There is no simple way to say this. Kenyan bank accounts are at risk.

The latter statement has been evidenced by the statistics present in the recent Cyber security Report published by Serianu, which asserts that Kenya lost about $175million last year.

Moreover, the Report managed to establish that cyber criminals are deliberately targeting the Kenyan digital economy with the intention of wreaking havoc and making away with millions.

Essentially, in terms of cyber resilience, the Kenyan digital economy can be likened to a slow, plump gazelle stumbling through the “cyber-savannah” in the full view of agile, informed and hungry cyber-predators who have begun to sink their teeth into their sumptuous prize.

Cybersecurity is a budgetary concern

With more than 75.3% of Kenyan citizens formally included in financial services, one would logically expect a correspondent increase in cyber security investments in the financial services sector.

Notably, the Serianu 2016 Kenya Cyber security Report, which highlighted that about 44% of financial institutions run on a cyber security budget of $1-1,000 annually, whilst about 33% of financial institutions in Kenya have $0 spend on all matters cyber security.

44% of financial institutions run on a cyber security budget of $1-1,000 annually Click to Tweet

Effective infrastructural cybersecurity measures come at a budgetary cost which must be respected by C-Suite executives. The threat landscape is constantly evolving as hackers collectively invest in their own expertise and tools to hack siloed

Financial organisations should staff more cyber security specialists

Notably, 63% of financial organisations in Kenya have an in-house cybersecurity department. However, only 29% of the employees within in-house cybersecurity departments in financial organisations are security certificate holders.

Financial organisations such as banks and fintech companies should ensure that their customers’ data is under the watch of certified cyber security professionals who can:

  • Promptly update their security infrastructure to match threat trends,
  • Clearly communicate the organisation’s cyber security needs to Board Executives,
  • Collaborate with digital product creators to ensure that their consumers enjoy safer technology,
  • Train other employees in online hygiene as a safety net against social engineering,
  • Swiftly respond to hacking incidences to mitigate losses and collect forensic data for litigation support.

Certified security specialists are a key asset for any financial organisation, as they not only guarantee their organisations’ business continuity by perpetuating trust and reliability of financial products, but also as business enablers who can assist in ensuring that there is security by design in the creation of new financial products.

Immature Data Protection Regulation:

There is no existing comprehensive data protection regulation in the jurisdiction of Kenya. This is in vast contrast to other thriving digital economies such as South Africa, states within the European Union and Canada.

One of the impactful consequences of poor data protection is the immensely secretive way through the occurrence of breaches is treated.

Financial institutions are not necessitated by any law to proactively inform the public regarding any substantial data breaches that have occurred to the detriment of their consumers.

This contrasts with the impending General Dara Protection Regulation in Europe, the Protection of Personal Information Act of South Africa and the Digital Privacy Act (whose adoption introduced mandatory notification via an amendment in the Personal Information Protection and Electronic Documents Act) who urge that any data breach that may result in a risk to the rights and freedoms of individuals should be reported to the relevant supervisory authority.

If unaddressed such breaches can have significant detrimental effect on individuals, i.e, discrimination, damage to reputation, financial loss, loss of confidentiality or any other significant economic or social disadvantage.

Under the Constitution of Kenya 2010, Kenyans’ consumer rights as well as the right to privacy has been asserted as a fundamental right that should be protected by the full legislative might of the Government.

Innovative legislators should get to work to protect the economy of the Republic of Kenya.

Conclusion

Large banks, microfinance institutions even cutting-edge fintech firms have been taking hooks to the jaw thrown by hungry cyber criminals who can see the vulnerabilities present within Kenya’s financial ecosystem.

The reputational harm to the financial sector has been immense as confidence in new, innovative financial products continues to decline sharply.

The finance market runs on the foundational principal of user trust. If financial institutions in Kenya do not champion the cyber security agenda, share threat intelligence to develop a fresh, synergised approach to cybercriminals, those heavy blows to their infrastructure will continue to wreak havoc to their stellar brands.

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Secure Videoconferencing: The Basics 0 861

Woman working at home on laptop

With COVID-19 concerns canceling face-to-face meetings, be aware of the security risks of videoconferencing and how to easily overcome them

As a way of controlling the spread of the COVID-19 pandemic, several countries have been forced to impose a lockdown on its citizens bringing normal operations to a near stand-still. Consequently, a considerable percentage of the working population has turned to remote working, a chunk of it for the first time.

This has spiked up the demand for video conferencing services, chat systems, and online collaboration tools to serve the increasing number of students, employees, and teachers, among other experts working from home.

By 11th March 2020, Kentik―a San Francisco network operator— had achieved a 200% increase in video traffic within the provided working hours in Asia and North America. Even before the start of the official lockdown in California.

In the same vein, the UK Prime Minister chaired a cabinet meeting via zoom, which communicated the government’s appeal for social distancing through the use of video conferencing. His actions, however, brought about several questions regarding the security of the communication.

But with a quick rejoinder, the UK’s National Cyber Security Centre pointed out that such communications shouldn’t cause any worries if they are below particular classifications. Accordingly, companies have developed confidence in the technology; therefore, are utilizing it to communicate with their remote workers.

Nevertheless, as an employee (or typical user), you need to understand the technology’s built-in security options, as well as control features before using it. Here we provide you with some primary considerations. Let’s dig in!

Your immediate surroundings

For you to realize a smooth and quality video conferencing experience, it is essential to cordon off your working space to prevent in kind of interruptions that might occur while in session; for instance, from your kids, better half, or even pets.

Besides, ensure that your working area is devoid of any sensitive or confidential information/material that can be captured by the camera.

Limit access

As you may be aware, a lot of video conferencing platforms allow the creation of multiple user groups to enable the providence of internet domain according to specific criteria; for instance, the use of company email address to join a video call.

Or offer access to a limited number of people whose email addresses have been invited or scheduled for a call.

As such, when creating a meeting, you can enable the set a meeting password option that creates a randomly generated code for your invitees to input before joining a conversation. Similarly, you can authenticate those using phones by the use of a numerical password. However, avoid embedding the password in the meeting link.

As an organizer, you can hold your participants in a “waiting room,” as you approve them one by one, which gives you full control over whom to allow or deny access. In case you have a large conference, you can delegate such duties to your trusted attendees.

File transfers and communication over the net

As a rule of thumb, always ensure that your end-to-end communication is encrypted. Do not assume that this option is the default for video calls since a few services may require you to request encryption.

If the third-party endpoint client software is permitted, ensure it abides by the requirements of the end-to-end encryption.

What’s more, consider limiting the types of documents you can send across the net; for instance, avoid transferring executable files.

Manage the attendees, as well as the engagement process

Often, your attendees will be distracted by notifications, pop-ups, and emails, among other things, when attending your conference calls. Therefore, as a host, you can request notification from your service provider if your conferencing client isn’t the primary or active window (depending on your platform). For instance, if you are a tutor, you can use this feature to get the attention of all your students.

You can also monitor those who joined the call by downloading the attendee list at the end of the call. Or request attendees to register before being connected.

Limit screen sharing capabilities

As the host, the sole responsibility of controlling screen sharing remains only yours, unless you delegate it to someone else that you trust. This eliminates any chances of an individual sharing content by mistake.

Importantly, only share the required application rather than the whole desktop when screen sharing. This is informed by the fact; even the name of a file or Icon can divulge sensitive company information.

Final thoughts

To ensure the security of your company communications, take time to consider all the available options security settings on your video conferencing system (or one you intend to use) settings. Importantly, take a look at the privacy policy of the service you intend to use to prevent the selling, sharing, collection, or re-use of your data.

In case you require more advice and endpoint client software for your video conferencing needs, then ESET has been here for you for over 30 years. We want to assure you that we will be here to protect your online activities during these uncertain times, too.

Protect yourself from threats to your security online with an extended trial of our award-winning software.

Try our extended 90-day trial for free.

Coronavirus con artists continue to thrive 0 809

Man working on laptop

The scam machine shows no signs of slowing down, as fraudsters continue to dispense bogus health advice, peddle fake testing kits and issue malware-laced purchase orders

As the Coronavirus pandemic continues to escalate, more companies are now shifting to remote work as a way of containing the spread of the disease. Similarly, lockdowns and travel bans, among other stringent measures, have become the order of the day across several nations. And to worsen the situation, there is a massive shortage of the required medical kits.

Such a crisis provides fraudsters undue advantage over a vulnerable lot that is financially destabilized, as well as emotionally drained as a result of the pandemic. 

In this case, you would likely receive fake updates regarding the pandemic, as well as non-existent offers for personal protective equipment, among others. Likewise, if you’re a business, you would certainly receive faux purchase orders and payment information.

Fortunately, as a follow up to our previous article about the ways scammers are exploiting coronavirus fears, we provide you with a few examples of the new campaigns aimed at stealing your money or personal information. To enable you to keep your guard up. Shall we?

Fake news/information

As the virus continues to escalate, more people are currently searching for practical information on how they can protect themselves. As a result, scammers have conveniently positioned themselves as the true COVID-19 information “crusaders” by impersonating well-known health organizations, such as the World health organization.

Don’t act surprised if you receive an email (containing an attachment) supposedly coming from a reputable health organization offering you “vital information” on how you can protect yourself from the disease.

For instance, our research team identified one such file containing a Trojan designed to steal personal credentials.

Apart from the WHO, fraudsters are also impersonating the US Centers for Disease Control and Prevention (CDC). Accordingly, the FBI has given a warning about scummy emails mainly riddled with malware-infested attachments and links purporting to originate from the CDC.

 To reduce the number of people falling for such schemes, the WHO shares examples of its official email addresses and methods of communication on its website.

Urgent purchase orders and late payments

Owing to the increased pressure from governments to reduce the spread of the virus, Companies, as well as factories, have been forced to streamline their operations according to the current situation. As an example, companies to integrate work from home modules, while factories to either increase or reduce their production capacities depending on their products.

Such erratic changes have brought about a climate of uncertainty that offers fraudsters a thriving environment.

In this case, as a factory owner or executive, be on the lookout for “urgent purchase orders” from “company representatives.” Since this fake orders come from scammers who want to make a kill out of your desperation of making some revenue before things go south.

Sadly, if you download such “urgent orders” (usually in attachments), your PC will be installed with malicious code designed to steal your details.

Below is an excellent example of such an “urgent order”:

Similarly, you would receive a “proof of payment” for you to take care of the order. However, like the last example above, instead of receiving a bank statement, the attached document contains a Trojan injector.

High demand products

A massive increase in demand compounded with an inadequate supply for essential protective items, such face masks has created another avenue for scams.

A typical example of such a scam involves a fraudulent site that is offering “OxyBreath Pro” face masks at a reduced price. These can lure you since there is a shortage of masks, and what is available is highly-priced.

However, if you click on the provided links, you’ll be at risk of exposing your sensitive personal information to the scammers.

Bogus testing gear

The unavailability or short supply of medical kits for testing folks for the virus has also attracted fraudsters in droves.

For instance, the existent low supply of masks, respirators, and hand sanitizers, among other necessities, has prompted scammers to impersonate medical officials.  So that, they can provide non-existent or fake COVID-19 test kits, as well as illegitimate “corona cures.”

As an illustration, more than 2000, links associated with fake coronavirus products have already been identified. Similarly, law enforcement bureaus alongside other relevant bodies have been able to seize US$ 13 million worth of potentially hazardous pharmaceuticals.

To contain these despicable actions, the U.S. Food and Drug Administration (FDA) has issued warnings that it hasn’t allowed the sale or purchase of coronavirus self-testing kits; therefore, it is currently bursting such sellers.

Final thoughts

In a wrap, what we have shared is a representative of the many current fraudulent campaigns doing rounds in our media spaces due to the prevailing situation.

Thus, it is critical to maintaining high alertness to avoid falling victim to both the COVID-19 pandemic, as well as the ensuing scam epidemic escalating through the internet. To keep yourself safe from the scams, you can practice the following basics:

  1. Avoid downloading files or clicking on links from unknown sources
  2. Never fall for unrealistic offers or order goods from unverified suppliers. You may also make a point of checking out the purported vendor’s reviews
  3. Invest in an excellent endpoint solution which can shield you from phishing attacks, as well as other forms of scams
  4. If an email suggests coming from a reputable organization, double-check with the firm’s website to confirm its authenticity

If you require consultation, as well as endpoint solutions for your cybersecurity needs, then ESET has been here for you for over 30 years. We want to assure you that we will be here to protect your online activities during these uncertain times, too.

Protect yourself from threats to your security online with an extended trial of our award-winning software.

Try our extended 90-day trial for free.