The Managing Director of RoutePay, Abayomi Olomu has urged the Fintech industry in Nigeria to come together and work collaboratively to tackle the high expenses associated with implementing cybersecurity measures. He said it is essential to share knowledge and brainstorm innovative strategies to address this menace, stating that it is crucial for players in the sector to join forces in the fight against cyber threats. Olomu advocated for the implementation of effective policies and regulations that could promote cooperation within the industry in order to combat criminal activities. He emphasized the importance of utilizing technology-driven methods to combat cybercrimes through a structured approach.
As reported by the Nigerian Communications Commission (NCC), Nigeria suffers a $500 million loss each year due to cybercrime, such as hacking, identity theft, cyber terrorism, harassment, and internet fraud. In order to combat this issue, it is crucial for all individuals to contribute to a sanction list containing the names of blacklisted merchants. The implementation of a central database of records is believed to be an effective measure in preventing businesses from engaging with blacklisted merchants. Reporting and solving issues necessitates a technology-focused strategy under a clearly structured cooperative system.
Gathering records and ensuring the accuracy is crucial.
Improved collaboration is essential, which is why a centralized database for blacklisted merchants to provide reports is also necessary, he added. He highlighted the importance of convening a collaborative meeting to address fintech concerns, stressing that industry players should promote the utilization of a unified database. Olomu underscored the essential role of artificial intelligence in fintech, citing the high transaction volume in the sector and warning that the system would not be sustainable without AI.
He advocated for validation checks as volume increases, coupled with collaboration among the players. He further mentioned the importance of balancing strong Cyber Security measures with a smooth user experience, stating that RoutePay streamlined requirements based on technology. Emphasizing the importance of utilizing existing records and databases, he stressed the need to cross-reference this information with their systems. He outlined the initial stages of managing Fraud at RoutePay, highlighting the importance of gathering records as the first step and then ensuring the accuracy of the information as the subsequent step.
Incorporate advanced automated security systems for safety.
Furthermore, he recommended that combatting Cybercrime should involve implementing a technology-based risk framework that categorizes customers into high, medium, or low risk groups, dictating the level of transactions allowed. By closely monitoring volume, frequency, and value, any unusual activity can be quickly identified and addressed, he emphasized. For enhanced safety measures, Fintech firms should regularly assess risks and seamlessly incorporate advanced automated Security systems to ensure continual prevention-focused protection across various platforms, including endpoints, data centres, networks, public and private clouds. These systems also help in minimizing the data accessible in case of any compromise or breach.
Fintech has revolutionized the Finance industry, offering innovative solutions for payments, lending, and wealth management. However, the potential of this industry could be threatened by cybercrime. To ensure security and protect against cyberattacks, fintech companies and banks must prioritize ongoing employee training. It is necessary for them to provide training for their employees and groups regarding Data Protection and disaster preparedness, develop and manage cybersecurity systems that can identify, withstand, and thwart cyber dangers, and adhere to legal obligations by promptly notifying instances of cyber assaults.
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It is crucial for fintech companies to establish comprehensive policies and protocols to detect and address breaches of privacy and data protection. Since cyber threats transcend national boundaries, cooperation on an international level is vital. Collaborating on cybercrime investigations, standardizing cybersecurity measures, and exchanging threat intelligence are effective methods for combating cybercriminals across borders. By continuously enhancing Infrastructure and addressing issues related to digital knowledge and security, the nation is on track for increased adoption and seamless integration of IT in the near future.