Banking sector, the report added, has been fast to adapt to the changing demands by accelerating efforts toward contactless business operations and speeding up digital transition to enable employees to work from home post the lockdown.
As a result of the technology integration, the sector has been facing several challenges with respect to ensuring data security, the report said.
It noted that the year 2020 has been quite challenging for Indian banks when it comes to cybersecurity.
After the onset of the COVID-19 crisis, banking operations were disrupted severely as banks struggled to provide uninterrupted services to their clients during various stages of lockdowns.
In the following months, they accelerated their digital transition efforts (such as digital banking and remote access to employees) to ensure contactless business operations.
"With a surge in digitisation, banks also witnessed a spike in cyber attacks as cybercriminals found new opportunities and vulnerabilities," it said.
Munjal Kamdar, Partner, Deloitte India said banks will likely adopt technologies such as mobile, cloud, remote access out of the need to sustain business during the pandemic and thrive thereafter.
For bank executives, the focus will be on achieving business goals even as they recalibrate strategies to address the ever-evolving cyber risks. Such transformative digitisation will also result in an increased attack surface, he said.
The challenges that they face include dealing with increased sophistication of cybercrimes, safeguarding and efficiently using data through a sound data sharing mechanism, appropriate data lifecycle management, and rules for ethical ownership of data, Kamdar said.
The report said rising cyber threats after COVID-19 pose serious concerns for Indian banks and the Reserve Bank of India (RBI).
"What makes the challenge acute is that different banks are currently at varying stages of digital transformation and cybersecurity maturity levels determined by their past investments, budget allocation, and size in terms of customer outreach and service offerings," it said.
Banks will have to prioritise and invest in cyber defence to create an agile and resilient infrastructure of the future, the Deloitte India report said.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
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