Rise in Ransomware Attacks in Southeast Asia Driven by Rapid Digitalization and Security Gaps

 

A wave of ransomware attacks across Southeast Asia during the first half of this year marks just the beginning of a larger trend. Companies and government agencies, particularly in countries like Thailand, Japan, South Korea, Singapore, Taiwan, and Indonesia, have experienced a dramatic rise in cyberattacks, outpacing the rate of ransomware growth in Europe, as shown by data from Trend Micro. 

With incidents like the June attack by the ransomware group Brain Cipher, which disrupted more than 160 Indonesian government agencies, the frequency of such attacks is expected to increase as the region’s economies expand. Many organizations in Southeast Asia are rapidly digitizing their infrastructure, often prioritizing speed over security. Ryan Flores, a senior manager at Trend Micro, points out that the rush to launch digital services often sidelines security measures. 

This rush, combined with a lack of stringent cybersecurity practices, makes organizations in Asia prime targets for cybercriminals. Recent incidents, such as the ransomware attack on a major Vietnamese brokerage in March and malicious code injections in Japan, indicate that cyber attackers are increasingly focusing on this region. Although North America and Europe remain the primary targets for ransomware, the Asia-Pacific region is experiencing a significant surge in attacks. In 2023, ransomware incidents in Asia grew by 85%, according to cybersecurity firm Comparitech. 

Countries like India and Singapore have become major targets, ranking among the top six countries affected by ransomware, based on Sophos’ “State of Ransomware 2024” report. Ransomware groups are especially targeting critical sectors in the Asia-Pacific region. Manufacturing saw the highest number of attacks, followed by government and healthcare sectors. Rebecca Moody of Comparitech suggests that the absence of strict breach notification laws in many Asian countries contributes to underreporting, which in turn reduces the focus on cybersecurity. While ransomware attacks in Asia are increasing, experts like Trend Micro’s Flores believe this rise is not due to targeted efforts but rather the sheer number of potential victims as companies in the region adopt digital tools without adequately upgrading their security. 

Cybercriminals are opportunistic, targeting any vulnerable infrastructure, regardless of its location. National governments in Asia are beginning to take steps to enhance their cybersecurity regulations. For instance, Singapore updated its Cybersecurity Act in May, and Malaysia introduced new legislation requiring cybersecurity service providers to be licensed. However, experts stress that organizations must prioritize basic security practices, such as regular software patching, strong password policies, and multifactor authentication, to mitigate risks effectively.