TheJakartaPost

Please Update your browser

Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.

Jakarta Post

Cyberattacks: The Achilles heel of digital banks

Banks have been assigned a large scope of responsibility – not only for protecting the confidentiality and security of customers’ data, but also for losses incurred as a result of bank negligence.

Yosea Iskandar (The Jakarta Post)
Premium
Jakarta
Tue, January 4, 2022

Share This Article

Change Size

Cyberattacks: The Achilles heel of digital banks Banks have been assigned a large scope of responsibility – not only for protecting the confidentiality and security of customers’ data, but also for losses incurred as a result of bank negligence. (Reuters/Kacper Pempel)

I

n the midst of our ongoing efforts to embrace the digital age, there has been a rise in cyberattacks in Indonesia. According to national cyber agency data, there were 888 million attempted attacks recorded from January to August 2021. Various corporations, private institutions and even government agencies have fallen victim to cybercrime.

Banks are one of the main targets, not only because of the amount of money they handle in transactions but also because of the vast value of the data they manage. As a result, cybersecurity has been among banks’ top priorities.

Nonetheless, for banks with a digital presence it takes more than just improving customers’ digital and financial literacy or applying cyber risk mitigation strategies to safeguard against cyberattacks.

To have a better picture of the challenges, we need to look further at existing regulations.

Currently, the umbrella regulation for digital transactions is the 2016 Electronic Information and Transactions (ITE) Law. It requires an electronic systems operator to manage the systems safely and be liable for the losses it may cause to users.

In the banking industry, the Financial Services Authority (OJK) recently issued new regulations (POJK) concerning digital banks, namely a POJK on commercial banks and a POJK on the implementation of commercial bank products. It provides that digital banks must fulfill certain requirements, including innovative technology, adequate risk management and protection of customer data.

Viewpoint

Every Thursday

Whether you're looking to broaden your horizons or stay informed on the latest developments, "Viewpoint" is the perfect source for anyone seeking to engage with the issues that matter most.

By registering, you agree with The Jakarta Post's

Thank You

for signing up our newsletter!

Please check your email for your newsletter subscription.

View More Newsletter

Furthermore, banks are responsible for consumers’ losses arising from errors and/or omissions by the managers, bank employees and/or third parties working for the benefit of the bank. Thus, banks have been assigned a large scope of responsibility – not only for protecting the confidentiality and security of customers’ data, but also for losses incurred as a result of bank negligence.

to Read Full Story

  • Unlimited access to our web and app content
  • e-Post daily digital newspaper
  • No advertisements, no interruptions
  • Privileged access to our events and programs
  • Subscription to our newsletters
or

Purchase access to this article for

We accept

TJP - Visa
TJP - Mastercard
TJP - GoPay

Redirecting you to payment page

Pay per article

Cyberattacks: The Achilles heel of digital banks

Rp 29,000 / article

1
Create your free account
By proceeding, you consent to the revised Terms of Use, and Privacy Policy.
Already have an account?

2
  • Palmerat Barat No. 142-143
  • Central Jakarta
  • DKI Jakarta
  • Indonesia
  • 10270
  • +6283816779933
2
Total Rp 29,000
{

Your Opinion Matters

Share your experiences, suggestions, and any issues you've encountered on The Jakarta Post. We're here to listen.

Enter at least 30 characters
0 / 30

Thank You

Thank you for sharing your thoughts. We appreciate your feedback.