This report, a collaboration between McKinsey & Company and the Institute of International Finance (IIF), examines the increasing cyber risks faced by financial institutions as they adopt emerging technologies. Based on a 2023 survey of 37 global financial firms, it highlights that while technologies like cloud computing and applied AI offer significant benefits, they also introduce new vulnerabilities and amplify existing ones. The report emphasizes that financial institutions are struggling to keep pace with these evolving threats, often underinvesting in cybersecurity and facing talent gaps. Ultimately, it calls for a proactive and strategic approach to cybersecurity to "future-proof" their operations against mounting risks.
