The state of application security in banking applications is an ongoing concern, especially as the industry continues to undergo digital transformation. With the increased adoption of mobile and web-based applications, the complexity and scale of digital infrastructure and applications have also increased, making application security a critical concern.
As a result, banks must implement strong security measures, including encryption techniques, to prevent unauthorized access to sensitive data. Standards and guidelines, such as ISO 27001, OWASP, and NIST, provide a framework for managing cybersecurity risk and should be integrated into the security policies and practices of the banking industry to ensure the protection of sensitive information.
Here are some statistics on the rise of mobile apps in banking and javascript-based applications:
- According to a report by App Annie, mobile banking app usage grew by 50% globally in 2020, with a total of over 1.2 billion downloads of banking apps.
- A report by Business Insider Intelligence states that mobile banking is the most popular banking channel, with over 89% of consumers using mobile banking apps.
- A survey by the Federal Reserve found that 70% of smartphone users have used a mobile banking app at least once in the past year.
- As for javascript-based applications, a report by State of JS in 2020 found that React and Vue.js were the most popular frontend javascript frameworks used by developers to build web applications, including banking apps.
- The report also found that 50% of developers use a javascript framework to build web applications, and that the use of frameworks has been steadily increasing over the years.
But, application vulnerabilities in the banking industry are a serious concern from the European financial services point of view.
According to a report by the European Banking Authority (EBA) in 2020, cybersecurity risk was identified as one of the banking industry’s most important operational risks, and applications’ vulnerabilities pose a significant threat to the industry.
Statistics show that the number of reported cyber incidents in the financial sector has increased over the past few years. In 2020, the European Union Agency for Cybersecurity (ENISA) said that the financial industry accounted for the most significant number of reported incidents (37.3%), and application vulnerabilities were the most commonly exploited attack vector (45.2%).
Moreover, the cost of cyber-attacks and data breaches can be significant for the banking industry. According to a report by Accenture in 2021, the average cost of a cyber attack in the financial services industry was $18.28 million, which was higher than in any other industry sector.
Therefore, the European financial services industry must address and mitigate application vulnerabilities to protect sensitive customer data and economic systems from cyber attacks.
It is essential for banking apps to implement strong security measures to protect sensitive user data from leakage and fraud attempts. This includes using strong encryption and authentication protocols, securing the app and the network it runs on, and educating users on safe practices to prevent social engineering attacks. Banking apps can be susceptible to data leakage and fraud attempts if left unprotected due to the nature of the sensitive data they handle. Here are some ways that banking apps can be vulnerable:
Banking apps can be susceptible to data leakage and fraud attempts if left unprotected due to the nature of the sensitive data they handle. Here are some ways that banking apps can be vulnerable:
