In 2024, the financial landscape in Africa has been rocked by a series of high-impact cyberattacks, underscoring the urgent need for enhanced digital defenses across the Banking, Financial Services, and Insurance (BFSI) sector. From Uganda to Zimbabwe and South Africa, institutions are increasingly in the crosshairs of sophisticated cybercriminal groups.
One of the most alarming incidents involved the Bank of Uganda, which reportedly lost approximately $16.8 million to an offshore hacking group known as “Waste.”
In a similar breach of security, ZB Financial Holdings in Zimbabwe suffered a ransomware attack in July that led to substantial data exposure, compromising both customer details and operational systems. South Africa’s Standard Bank also confirmed a recent data breach that affected limited personal and financial data, highlighting how widespread and varied these threats have become.
Interpol’s 2024 African Cyberthreat Assessment paints a grim picture—cyberattacks on African businesses surged by 23% in 2023, with ransomware and data breaches being the most prevalent.
These figures reflect not only a rising frequency but also the growing sophistication of cybercrime on the continent. The IBM 2024 Cost of a Data Breach report further reveals that the average cost of a data breach in South Africa has risen sharply to R53.1 million, a significant jump from R49.45 million the previous year.
Historical incidents continue to serve as cautionary tales. The 2020 Experian breach compromised 24 million personal records, while the 2023 Medusa ransomware attack on the Bank of Africa’s Malian unit resulted in the leak of 2TB of sensitive data.
These events demonstrate the severe financial and reputational risks African financial institutions face.
As the sector increasingly adopts technologies such as artificial intelligence, blockchain, and cloud computing, new avenues for cyber exploitation have emerged. Threats like phishing schemes, insider sabotage, and regulatory compliance issues now loom larger than ever before.
“Cybercrime is evolving at an alarming rate, and financial institutions in Africa are prime targets,” said Abe Wakama, CEO of IT News Africa.
“The BFSI Security Summit will offer a vital platform for industry leaders to collaborate, exchange knowledge, and deploy effective strategies to protect their institutions,” he further added.
Cybersecurity experts and Chief Information Security Officers (CISOs) across the continent are responding by urging a multi-layered approach to digital defense—deploying AI-powered threat detection systems, implementing zero trust security models, and ensuring compliance with key data privacy regulations like South Africa’s Protection of Personal Information Act (POPIA) and the EU’s GDPR. Additional measures such as continuous monitoring, advanced endpoint protection, and robust incident response planning are becoming standard practice.
Equally critical are human factors—regular employee training and rigorous penetration testing play a pivotal role in building organizational cyber resilience.
