CBN Goes Tough On Internet Fraud

• Floats new security plan

BY EDMOND ODOK, ABUJA – The Central Bank of Nigeria (CBN) says a Risk Based Cyber Security Framework is being developed for banks and payment service providers to fight internet fraud in the country.

By the 2017 Nigeria Cyber Security Report, the country loses about N127 billion annually due to cyber crimes

Speaking at the 2018 Nigeria-JP Morgan Chase Cyber Security Conference on Thursday in Abuja, CBN Governor, Mr Godwin Emefiele, said the framework would ensure suitable cyber security of data in the nation’s banking system.

Represented by the Deputy-Governor, Financial System Stability, Mrs Aisha Ahmad, the CBN governor said; “Technology has transformed the way we learn, communicate, deliver services, conduct financial transactions and even experience entertainment.”

Emefiele, who acknowledged that new conveniences of modern technology have ushered in complex security challenges and cybercrime, said; “These range from identity and intellectual property theft, phishing, email spamming, virus dissemination to sophisticated hacking and theft by digital crime syndicates.”

According to him, “A recent study by the IMF estimated global annual losses from cyber-attacks to be close to nine per cent of banks’ net income or around 100 billion dollars.”

He said the apex bank remains committed to strengthening the regulatory and supervisory framework to tackle the menace of cyber risk and crimes in Nigeria.

Also speaking at the event, Director, Information and Communication Technology Department, CBN, Mr John Ayoh, confirmed that the apex bank has in place a strong cyber-security model to shield its systems against computer-generated attacks.

Ayoh said CBN had improved its technology know-how to ensure computers and other relevant devices being deployed by the staff are not hacked easily.

He further explained that the payment system, particularly the Society for Worldwide Interbank Financial Telecommunication, has been reviewed to ensure security of the financial system.

Similarly, the Managing Director of Nigeria Inter-Bank Settlement System (NIBSS), Mr Folashodun Shonubi, said Nigerians should be assured that the electronic payment system in Nigeria is safe and secured.

Shonubi stated that “Looking at the likelihood of fraud, it is actually lower if you use electronic means for transactions and payments”, adding that; “lmagine you are in a bus and someone took your wallet, it’s almost impossible to identify the culprit.”

The NIBSS boss also talked about the security of ATM card, explaining that every transaction made with the card can easily be traced while leading to arrest of the criminals.