The global cybersecurity in banking market, valued at $74.3 billion in 2022, is projected to soar to $282 billion by 2032, growing at a CAGR of 14.4% from 2023 to 2032, according to a report titled “Cybersecurity in Banking Market Research, 2032” by Allied Market Research.
The report, which offers an in-depth analysis of the cybersecurity landscape in the banking sector, underscores the criticality of cybersecurity in banking, focusing on technology and protocols for preventing and responding to attacks targeting financial institutions’ data, networks, and digital infrastructure. The financial sector, laden with sensitive data and monetary assets, remains a prime target for hackers, posing unique challenges like vulnerabilities from remote work and risky customer behaviors like password sharing during digital banking.
A significant driver of this market growth is the digital transformation in the banking sector, with institutions increasingly adopting an omni-channel approach to enhance customer experience. This transformation is not without its challenges, however. The report highlights a concerning talent gap in cybersecurity skills within the banking industry, emphasizing the need for focused training programs and the retention of skilled personnel.
The forecast for the cybersecurity in banking market is bright, thanks to the development of technologies like artificial intelligence (AI), Internet-of-Things (IoT), Blockchain, and 5G. These technologies are transforming business processes in the BFSI sector, from innovating payment methods to transforming know-your-customer (KYC) processes. IoT and AI are particularly instrumental in automating payments and integrating back-end processes with front-end systems to develop comprehensive financial operations.
The profiles key players in the market, including JP Morgan Chase & Co., Bank of America, Wells Fargo, BNP Paribas, CITI Group Inc, Bank of China, Barclays, HSBC, Standard Chartered, Agricultural Bank of China, and Mitsubishi UFJ Financial Group. It also highlights that the Asia-Pacific region dominated the global cybersecurity in banking market in 2022, attributed to the growing usage of mobile banking and the region’s expanding banking sector.