In the third quarter of 2022, the UAE saw the largest individual year-on-year increase in cyberattacks – by 151 per cent, compared to a 28 per cent increase globally, according to research. Attackers clearly have their eye on UAE companies, highlighting the importance of implementing robust cybersecurity strategies.
But in order to do so effectively, organisations must understand and anticipate the shifts in the regional cybersecurity landscape and safeguard themselves accordingly. In this regard there are some key trends that companies must take note of to stay safe.
The rising role of AI in the cyber realm, for one, is full of opportunity, but it also comes with increased risks. In 2023, we will probably see more instances of threat actors utilising sophisticated phishing techniques and combining them with AI to target and attack users in a more intelligent manner. According to some reports, phishing attacks in the UAE grew by 230 per cent in the second quarter of 2022. This is a threat that companies in the country – and in the wider region – need to keep an eye on.
The increasing sophistication of cyberattacks is a worrying trend, but applications are simultaneously evolving to address these threats
AI has changed the phishing game, enabling attackers to leverage features such as natural language processing to create well-written, convincing phishing emails that are difficult to identify. Data shows that chatbot systems such as ChatGPT can be misused by attackers to craft phishing emails and codes. Additionally, by combining AI with databases of breached information found on the dark web, attackers can deliver more targeted and sophisticated phishing campaigns.
The evolution of regulations and compliance laws will affect the way companies approach data management, especially as governments across the region implement their own data privacy laws, including those of the UAE, Saudi Arabia and Oman. As more regulation is implemented locally, IT teams and organisations more broadly will start to change how they think about data collection and storage.
Many organisations view the data they collect as a resource that they can harvest and store without consequence. This may well change as organisations understand that some data they collect may have a liability associated with it, and hence, will need to review and update their data practices to ensure they are processing data in a lawful and ethical way.
That is where cybersecurity service providers would come in to address and manage data security and compliance for their clients, enabling them to focus on their core business.
In 2023, we could witness more supply chain attacks targeting software suppliers and developers. A number of attacks have already targeted widely used messaging and email applications that are used in many organisations.
The way we design, develop and operate software makes the electronic supply chain of code much more vulnerable. Most software is now developed through a modular approach, meaning that the software is essentially a patchwork of functionality, sourced from libraries available to the developer. The benefit of this is that we have become extremely efficient at delivering rich functionalities in our software quickly. Unfortunately, this approach also means that organisations don’t control their code base to the same extent any more, and the effect of a single vulnerability in a function can further affect many systems. This was seen with some of the crypto libraries, in which the very fabric of the internet was affected.
To avoid this, organisations can work with a cybersecurity service provider, who can study the organisation’s information and communication technologies pipeline to understand what kind of software libraries their vendors utilise, and whether those libraries could potentially be compromised. From there, the service provider can conduct a risk assessment to establish where the organisation stands in terms of software integrity, and act accordingly.
The number of Distributed Denial of Service (DDoS) attacks observed in the third quarter last year in the UAE is almost equivalent to the entire volume of such attacks recorded in the first half of last year. DDoS attack numbers grew by more than 79 per cent in the third quarter, compared to the second quarter of 2022, according to Help AG’s Q3/Q4 Threats & Vulnerabilities Report 2022. This year, DDoS attacks will likely rise in frequency, volume and complexity, in the sense that attackers are highly competent and have a good understanding of how protection systems function. This would enable them to potentially execute attacks under the radar, by constantly retooling attacks to bypass these set protection mechanisms.
In order to effectively mitigate DDoS attacks, companies must have a solid understanding of how their systems will react to such an attack. With the ever-evolving digital transformation requirements, DDoS mitigation solutions would need to continuously upgrade policies and technologies coupled with real-time insights. Service providers have been and will remain the best bet for businesses to deal with these varying attack trends, through services such as DDoS simulation testing that will enable IT teams to assess the resilience of their systems by staging a controlled attack.
The increasing sophistication of cyberattacks is certainly a worrying trend, but cybersecurity applications are simultaneously evolving to address these threats.
The future of cybersecurity will be service-centric, with 90 per cent of cybersecurity requirements expected to be fulfilled through a service model by 2025.
We will see more organisations make the shift to cybersecurity-as-a-service in 2023, partnering with specialist-managed service providers to gain access to expertise and latest technologies, as service providers continuously invest in technologies, knowledge and talent.
Cybersecurity is the crucial component of successful digital transformation and needs to be built in from day zero. As attackers evolve their methods to bypass security measures, often by abusing emerging technologies such as AI, it is crucial for organisations to arm themselves with awareness, and partner with security services providers to increase their cyber resilience.
Living in...
This article is part of a guide on where to live in the UAE. Our reporters will profile some of the country’s most desirable districts, provide an estimate of rental prices and introduce you to some of the residents who call each area home.
The currency conundrum
Russ Mould, investment director at online trading platform AJ Bell, says almost every major currency has challenges right now. “The US has a huge budget deficit, the euro faces political friction and poor growth, sterling is bogged down by Brexit, China’s renminbi is hit by debt fears while slowing Chinese growth is hurting commodity exporters like Australia and Canada.”
Most countries now actively want a weak currency to make their exports more competitive. “China seems happy to let the renminbi drift lower, the Swiss are still running quantitative easing at full tilt and central bankers everywhere are actively talking down their currencies or offering only limited support," says Mr Mould.
This is a race to the bottom, and everybody wants to be a winner.
UAE currency: the story behind the money in your pockets
Who's who in Yemen conflict
Houthis: Iran-backed rebels who occupy Sanaa and run unrecognised government
Yemeni government: Exiled government in Aden led by eight-member Presidential Leadership Council
Southern Transitional Council: Faction in Yemeni government that seeks autonomy for the south
Habrish 'rebels': Tribal-backed forces feuding with STC over control of oil in government territory
STAR%20WARS%20JEDI%3A%20SURVIVOR
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War 2
Director: Ayan Mukerji
Stars: Hrithik Roshan, NTR, Kiara Advani, Ashutosh Rana
Rating: 2/5
UAE currency: the story behind the money in your pockets
Scoreline
Real Madrid 1
Ronaldo (53')
Atletico Madrid 1
Griezmann (57')
Sunday's fixtures
- Bournemouth v Southampton, 5.30pm
- Manchester City v West Ham United, 8pm
Fighting with My Family
Director: Stephen Merchant
Stars: Dwayne Johnson, Nick Frost, Lena Headey, Florence Pugh, Thomas Whilley, Tori Ellen Ross, Jack Lowden, Olivia Bernstone, Elroy Powell
Four stars
hall of shame
SUNDERLAND 2002-03
No one has ended a Premier League season quite like Sunderland. They lost each of their final 15 games, taking no points after January. They ended up with 19 in total, sacking managers Peter Reid and Howard Wilkinson and losing 3-1 to Charlton when they scored three own goals in eight minutes.
SUNDERLAND 2005-06
Until Derby came along, Sunderland’s total of 15 points was the Premier League’s record low. They made it until May and their final home game before winning at the Stadium of Light while they lost a joint record 29 of their 38 league games.
HUDDERSFIELD 2018-19
Joined Derby as the only team to be relegated in March. No striker scored until January, while only two players got more assists than goalkeeper Jonas Lossl. The mid-season appointment Jan Siewert was to end his time as Huddersfield manager with a 5.3 per cent win rate.
ASTON VILLA 2015-16
Perhaps the most inexplicably bad season, considering they signed Idrissa Gueye and Adama Traore and still only got 17 points. Villa won their first league game, but none of the next 19. They ended an abominable campaign by taking one point from the last 39 available.
FULHAM 2018-19
Terrible in different ways. Fulham’s total of 26 points is not among the lowest ever but they contrived to get relegated after spending over £100 million (Dh457m) in the transfer market. Much of it went on defenders but they only kept two clean sheets in their first 33 games.
LA LIGA: Sporting Gijon, 13 points in 1997-98.
BUNDESLIGA: Tasmania Berlin, 10 points in 1965-66
Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.
Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.
“Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.
Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.
“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.
Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.
From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.
Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.
BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.
Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.
Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.
“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.
Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.
“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.
“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”
The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”
if you go
The flights
Flydubai flies to Podgorica or nearby Tivat via Sarajevo from Dh2,155 return including taxes. Turkish Airlines flies from Abu Dhabi and Dubai to Podgorica via Istanbul; alternatively, fly with Flydubai from Dubai to Belgrade and take a short flight with Montenegro Air to Podgorica. Etihad flies from Abu Dhabi to Podgorica via Belgrade. Flights cost from about Dh3,000 return including taxes. There are buses from Podgorica to Plav.
The tour
While you can apply for a permit for the route yourself, it’s best to travel with an agency that will arrange it for you. These include Zbulo in Albania (www.zbulo.org) or Zalaz in Montenegro (www.zalaz.me).
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Story of 2017-18 so far and schedule to come
Roll of Honour
Who has won what so far in the West Asia rugby season?
Western Clubs Champions League
Winners: Abu Dhabi Harlequins
Runners up: Bahrain
Dubai Rugby Sevens
Winners: Dubai Exiles
Runners up: Jebel Ali Dragons
West Asia Premiership
Winners: Jebel Ali Dragons
Runners up: Abu Dhabi Harlequins
UAE Premiership Cup
Winners: Abu Dhabi Harlequins
Runners up: Dubai Exiles
Fixtures
Friday
West Asia Cup final
5pm, Bahrain (6pm UAE time), Bahrain v Dubai Exiles
West Asia Trophy final
3pm, The Sevens, Dubai Hurricanes v Dubai Sports City Eagles
Friday, April 13
UAE Premiership final
5pm, Al Ain, Dubai Exiles v Abu Dhabi Harlequins
Medicus AI
Started: 2016
Founder(s): Dr Baher Al Hakim, Dr Nadine Nehme and Makram Saleh
Based: Vienna, Austria; started in Dubai
Sector: Health Tech
Staff: 119
Funding: €7.7 million (Dh31m)
Living in...
This article is part of a guide on where to live in the UAE. Our reporters will profile some of the country’s most desirable districts, provide an estimate of rental prices and introduce you to some of the residents who call each area home.
F1 The Movie
Starring: Brad Pitt, Damson Idris, Kerry Condon, Javier Bardem
Director: Joseph Kosinski
Rating: 4/5