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Only 50% of companies have the budget to mitigate cyber risks


As the global economy continues to slide towards recession and cyber risks continue to escalate, the trends about how cyber security budgets for 2023 are evolving are a major cause of concern according to a new survey.

The survey conducted in December 2022 by the Neustar International Security Council (NISC) has revealed that across the board budget cuts have become a normal state of affairs as nobody is sure when the economy will rebound.


The NISC survey focused on how the present economic climate is affecting cyber security budgets. It found that 51% of the companies responding did not have sufficient funds in their budget to cover their complete cyber security needs and 11% only had enough budget to cover their most critical assets.


This is troubling because attackers have not seemed to suffer at all from the flagging economy and attacks continue to provide an ever-present threat to companies.


The survey found that less than one-third of IT and security professionals said their cyber security budgets would remain the same this year, while 6% expect them to fall. Of those, 44% said the budget stagnation or cuts will expose their businesses to more cyber risk.


NISC senior vice president solutions Carlos Morales said, “Macroeconomic issues are driving down spending across all sectors, and the way a lot of leaders are handling it is by cutting across all programmes without careful consideration for where they’re making their cuts.”


The NISC report is based on the responses of 304 senior-level professionals across the US, Europe, the Middle East and Africa. It found that four in five executives believe the C-suite and board of directors at their organizations understand the existing threat levels. But more than two-thirds of respondents agreed that constraints on their budgets would limit their ability to respond to these threats.


The majority of respondents, 60%, said the most current risk is the rising sophistication of attacks, but more than half are also wary of the rising number of attacks.



Source: asiainsurancereview.com

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