IMF probes cybersecurity incident after discovering a cyber issue on February 16. The International Monetary Fund (IMF) has launched a follow-up investigation with the help of independent cybersecurity specialists to ascertain the extent of the breach and what steps have been taken to address it.
Eleven IMF email accounts were found to have been compromised throughout the inquiry. Email accounts that were affected were secured again.
in a statement signed by Paris Devahasadin, the press officer for the IMF, the international organization stated, that at this point, they have no indication of further compromise beyond these email accounts. This situation is still being looked into.
Also see: IMF temporarily extends member nations’ lending ceiling
IMF probes cybersecurity incident
“The IMF takes the prevention of and defense against cyber incidents very seriously and, like all organizations, operates under the assumption that cyber incidents will unfortunately occur. The IMF has a robust cybersecurity program in place to respond quickly and effectively to such incidents.” In a statement, the fund said.
A successful attack on a large financial institution or a widely utilized core system or service may quickly spread throughout the entire financial system, causing significant disruption and loss of confidence, as the IMF had previously warned due to the strong financial and technological linkages.
It further stated that if liquidity is trapped, payments and deposits may become unavailable to individuals and businesses, potentially leading to transaction failure. In severe cases, depositors and investors can attempt to cancel their accounts or other services they frequently use or demand their money back.
Because hacking tools have become more affordable, user-friendly, and potent, even inexperienced hackers may now do greater damage for a far smaller amount of money. Hackers have more opportunities due to the growth of mobile-based services, which are the only technical platforms that many individuals have access to.
Attackers work without boundaries, focusing on both big and small organizations as well as wealthy and developing nations. Therefore, combating cybercrime and lowering risk must be a cooperative effort between nations as well as inside them.
Financial institutions still have to handle routine risk management tasks like network upkeep, software updates, and strict “cyber hygiene,” but it’s also important to recognize the connections and spillovers throughout the financial system and address shared issues.
There are insufficient incentives for individual firms to invest in protection. Regulation and the involvement of public policy are required to prevent underinvestment and shield the larger financial system from the fallout of an attack.
“In our view, many national financial systems are not yet ready to manage attacks, while international coordination is still weak. In new IMF staff research, we suggest six major strategies that would considerably strengthen cybersecurity and improve financial stability worldwide,” it stated.