With the increase of cyber-attacks and bank fraud, financial institutions are significantly raising their investments in cyber security. In 2024, banks are expected to invest around R$ 47,4 billion in this area, which represents 10% of the total investment in technology for the current year.
According to research by FEBRABAN (Brazilian Banks Federation) and the professional services firm Deloitte, this amount represents 10% of the total technology investment for the current year.
Cyber Security in the spotlight
These percentages reveal a significant increase in technology over the years. In 2019, the total amount invested in cyber security purposes, between investments and costs, was R$ 23,9 billion. The growth of 98% in the last five years shows the commitment financial institutions have to the fight against the increase of cyber-attacks.
Security is an investment and a priority
The research highlighted that cyber security is now a strategic priority for all banks surveyed. They plan to focus their investments on architecture, infrastructure, and specialized tools to detect and combat cyber threats. In addition, banks are focusing on identity and access management, team training and raising awareness, cloud computing security, hacking tests and data cryptography.
The increasing use of smartphones to access banking services online has meant that banks have had to implement a variety of tools to combat banking fraud, which has become more sophisticated and intelligent. Scams offering and promising bonuses or employment are some of the most common tactics used by criminals.
Recent research by Datafolha and Nubank shows that seven out of ten Brazilians have heard of someone who has been a victim of online fraud related to banking apps. And 56% of those who know a victim believe that a lack of knowledge was the reason for being scammed online, while 15% believe that security failure of financial institutions is the main cause.
In addition to the focus on cyber security, Brazilian banks are engaged in a variety of digital transformation areas. Beyond security and fraud protection, banks are focusing on the following in 2024:
Customer Experience: Enhancing the customer experience through personalized digital solutions.
Technological Innovation: Adopting new technologies, such as artificial intelligence and cloud computing, to offer more efficient and competitive products.
Sustainability: Promoting sustainable and responsible social practices.
Integrated ecosystem offerings: Connecting a variety of products and services in a digital environment to make it easier for customers.
The financial industry is increasing its investment in technology and innovation to ensure the security of banking transactions, to combat fraud and to provide a better customer experience.
The solutions that tuvis offers stand out due to their capability to anticipate risks and comply with the regulations. We can efficiently provide cyber security for financial institutions, prevent data leaks, and protect all sensitive data. Our proactive approach helps to maintain the confidentiality and integrity of data in a digital environment that’s constantly under threat.
