Banks in Bangladesh are gradually becoming digital, from Internet banking to dedicated mobile applications. This is excellent since it makes banking easy. However, it also indicates that cyber risks are increasing. As more people undertake online banking transactions, fraudsters try to steal money and personal information. Banks therefore need to prioritize cyber security.
What are the threats?
Hackers use malware, phishing, and DDoS attacks against banks. Malware simply stands for malicious software that finds its way into the system or unit. It can then eavesdrop, pilfer data, or even blackmail by putting systems on lockdown. Phishing tricks users with fake messages and asks for private information from them. Hacking refers to penetrating systems either directly or via duping the personnel to gain or sabotage the systems.
Since more customers and banks use digital banking, more of them can become targets of such cyberattacks. This may lead to massive embezzlement and loss of credibility and the impact could lead to loss of a lot of people’s money. So banks need to step up their compliance and customer awareness strategies.
Toward strong cybersecurity systems
This means that the banks must continue and strengthen the testing and the reinforcement of IT structure. Their networks, both software and hardware must all be replaced with the latest and best secure models. Continued: Cybersecurity audits can be used to identify weaknesses in the system so that they can be closed. Performing simulations of response measures to cyber threats also has its merit.
Staff ought to apply cyber hygiene, just as patients do. This includes avoiding clicking links from emails or other contacts, avoiding easily readable passwords, and planning to log off of the system. Background checks during the employment process help to prevent insider threats.
It also helps to keep registered activity up to date and spot potential problems earlier. Banks can use AI tools to detect abnormalities and stop attacks. It was also established that cyber insurance can act as an insurance cover for any financial impacts of the attacks.
Security systems have to be regularly updated, employees need to be re-trained and clients have to be informed. It falls to the government to set specific regulatory recommendations and to offer legal advice
Increasing customer awareness
Customers also have a responsibility to combat fraud. Banks should air public service announcements to account holders on measures they should take. That includes how to conduct digital banking safely, how to differentiate between a scam email or call, how to report such incidences and at what time etc. It does help that regular alerts on newer frauds and other advisories on how to stay safe are provided.
Banks can also share security tips on internet usage, especially in those moments when people log in or do transactions. Other messages may be accompanied by brief videos and quizzes; the latter aims at reinforcing a particular message. To ensure that the users stay active the organizers use offers to motivate them for secure behaviour.
Government support essential
Even more important is the support of the Bangladesh government and regulators for banks to address rising threats effectively. Basic requirements include clear policies, and the legal requirement to perform audits and to report on cyber security incidents. This calls for the establishment of a cybersecurity agency where all the banks can report and coordinate their measures.
The government also requires more severe laws and legal frameworks for cyber criminals to be apprehended internationally. And training programs have to develop the talent for cyber security in the sectors. Police and banking authorities need more cybercrime cells too, now.
The way forward
Bangladesh is advancing through different services related to digital banking services. But there are also more cyber risks in the current global environment as well. That is why the security systems have to be regularly updated, employees need to be re-trained and clients have to be informed. It falls to the government to set specific regulatory recommendations and to offer legal advice. Altogether one must say that Bangladesh's banking industry can flourish in the digital era of the world with safety and security.
* SM Abdul Wadud has 20 years experience in the banking IT sector and works with Global Islami Bank