Africa’s Economies Feel Pain of Cybersecurity Deficit

Africa's Economies Feel Pain of Cybersecurity Deficit

August 20, 2024 at 03:04AM

Africa’s fast economic growth is hindered by a surge in cybercrime, with weekly cyberattacks on African businesses growing 23% in 2023, the fastest global increase. This poses a significant threat to the continent’s economic development, requiring accelerated cybersecurity skills training. However, existing estimates of cybercrime costs in Africa lack sufficient evidence and may be overinflated.

Based on the meeting notes, it is evident that cybercrime is a significant issue impacting Africa’s economic growth and development. The average number of weekly cyberattacks on African businesses has seen a substantial 23% increase in 2023 compared to prior years, the fastest increase worldwide. Ransomware and business email compromise (BEC) are identified as top threats, which are exacerbated by factors such as digital illiteracy, aging infrastructure, and a lack of cybersecurity professionals.

The impact of cyber threats on Africa’s economic development is substantial, with cyberattacks constituting a significant drag on the continent’s gross domestic product (GDP), projected to reach $4 trillion by 2027. The rising cost of cybercrime presents an opportunity for Africa as it undergoes digital transformation, especially given the potential of young, tech-savvy workers and the economic value of AI in sub-Saharan Africa.

Furthermore, there is a need for better data on the problem of cybercrime in Africa, as current estimates and reports lack supporting evidence and may be overinflated. The estimates on the cost of cybercrime in Africa vary, and there is a discrepancy between the reported 10% of GDP and the actual estimated cost, which ends up being around 0.3% of GDP.

It is clear that addressing cybercrime requires collaboration and the development of robust regulatory frameworks at both national and regional levels. Additionally, leveraging AI and enhancing cybersecurity best practices will be critical for Africa’s cyber resilience and economic growth in the digital era.

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