Regulators Warn Banks to Prepare for a Russian Cyberattack 

As tension on the ground between Russia and the Ukraine intensifies, the European Central Bank (ECB) has warned financial institutions (FIs) of a possible Soviet cyberattack, sources told Reuters Wednesday (Feb. 9) 

While 100,000 Russian troops are stationed at the border of the second-largest country by area in Europe after Russia, Europe’s business and political leaders have said they fear an invasion would have a dire impact on the region. 

The ECB, headed by former French Minister Christine Lagarde, has been on alert for any cyberattacks on banks launched from Russia, the sources told the news outlet. 

The regulator was already focused on scams that accelerated since the onset of COVID-19. But the crisis in the Ukraine has diverted its attention to these potential attacks from Russia, a source said.  

As a result of the potential threats, banks have been conducting cyber tests to gauge their ability to fight an attack, the person said. 

In January, Thomson Reuters’ Regulatory Intelligence, which focuses on global regulatory standards, reported that the New York Department of Financial Services alerted FIs to possible retaliatory cyberattacks should Russia invade Ukraine and draw U.S. sanctions. 

While the standoff centers on the future of Ukraine, Russian President Vladimir Putin has chosen this stage to reiterate his nation’s influence in Europe and the world. 

Around the same time Russian troops began to amass around Ukraine’s border in mid-December, Western Union announced it would collaborate with major Ukraine financial institutions to boost cross-border payments. 

See also: Western Union Teams With Ukraine, CIS Institutions on Cross-Border Payments 

Western Union has launched international money transfers through Ukraine postal network Nova Poshta. The latter’s nonbanking financial institution, NovaPay, has a 40% share of the local money transfer market.  

Customers who bank with Monobank in Ukraine will be able to use Western Union’s retail network to conduct money transfers via Monobank’s app.