The financial sector in Europe, the Middle East, and Africa (EMEA) is increasingly facing cyberattacks.
The cyber threat to the banking sector in EMEA is growing rapidly. This is according to the report Cyber Risk in Finance and Banking Across EMEA by cybersecurity company KnowBe4. Banks and financial institutions are now among the most attacked sectors, resulting in significant financial, operational, and reputational risks.
Rapid digital transformation
According to the report, the financial sector in Europe is the second most affected industry by cyberattacks, accounting for 18 percent of all incidents. In the Middle East and Africa, the sector is even the primary target category. Globally, that share is 23 percent. The average cost of a data breach in the sector will be approximately €4.77 million per incident in 2025.
The rapid digital transformation plays an important role. Banks are at the forefront of using mobile apps, cloud technology, and AI, but are also increasing their digital attack surface. At the same time, many institutions remain dependent on outdated core systems and external suppliers, which creates additional vulnerabilities. The report shows that 96 percent of the 100 largest European financial institutions have experienced a security incident at a third party in the past two years.
Phishing remains effective
Phishing, DDoS attacks, and ransomware are the most commonly used attack methods. Phishing, in particular, remains effective: human error is still a major gateway for cybercriminals. Regulation should make the sector more resilient. In Europe, the Digital Operational Resilience Act (DORA) has been in effect since January 2025, which mandates ICT risk management and incident reporting. Yet, the gap between awareness and implementation appears to be large: only a small proportion of financial institutions have fully integrated DORA into their daily practices.
Technological investments alone are not enough. Structural attention to human behavior, training, and awareness is crucial to ensure the resilience of the financial sector and the stability of the financial system