The weakest link in the security chain is the human element, - Kevin Mitnick, founder of Mitnick Security Consulting.
Over 6.6mn cyber attacks targeted websites within Uzbekistan's 'uz' domain zone in 5M24. The digital era has empowered criminals with vast opportunities to exploit savings, personal data, and confidential information—all without direct contact, allowing them to maintain complete anonymity. In response to the growing threat, the field of information security, or cybersecurity, has evolved to combat these crimes. But with cybercrime in Uzbekistan increasing 25-fold between 2021 and 2023, the pressing question is whether the country is ready to confront this growing menace.
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90% of hacking attacks targeting Uzbekistan stem from outside the country
Most attacks on local companies, especially on the banking sector and payment systems, usually come from other countries. But some local hackers go over to the dark side and engage in hacking, fraud and user deception. Of course, sooner or later they are always found out and caught. The euphoria of impunity doesn't last long. It is only a question of time,Dmitriy Paleyev, Director of cyber security company ONESEC, stated.
In 2023, Uzbekistan faced a significant cybersecurity challenge, with over 11.2mn cyber attacks targeting its web resources. An analysis of the geographical origins of these cyber attacks revealed notable trends. The Netherlands emerged as a prominent source, contributing to 759,500 attacks originating from IP addresses in the region. Other significant contributors included the United States, Russia, Germany, India, and China. These external threats accounted for approximately 90% of hacking attacks targeting Uzbekistan, emphasizing the need for cross-border collaboration in cybersecurity efforts.
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How does Uzbekistan’s "Digital Uzbekistan-2030" strategy impact cybersecurity?
The implementation of Uzbekistan's "Digital Uzbekistan-2030" strategy has been a double-edged sword for the country’s cybersecurity landscape. While the strategy has driven significant advancements in digital infrastructure, boosting internet connectivity, and expanding digital services across various sectors, it has also introduced new vulnerabilities that cybercriminals are eager to exploit.
As Uzbekistan rapidly digitalizes its economy and public services, the increased interconnectivity and dependence on digital systems have exposed the country to a higher risk of cyber attacks. The goal to connect 95% of settlements to the internet and implement over 400 information systems by 2022 has created a broader attack surface for cyber adversaries. This expansion, while essential for economic growth, has inevitably attracted malicious actors who see opportunities in the gaps of a fast-developing digital environment.
The fact that many of the newly implemented systems lack comprehensive cybersecurity mechanisms highlights the urgency for Uzbekistan to not only continue its digital transformation but also strengthen its defences against increasingly sophisticated cyber threats.
The country's rapid digital growth has sharply increased information security risks, with critical infrastructures becoming prime targets for cyber adversaries. The interconnected nature of today's global systems means that a single breach can have widespread and potentially devastating effects on both national and international levels.
Experts warn that the cost of global cybercrime is projected to increase by 15% annually, potentially reaching $10.5 trillion by 2025, up from $3 trillion in 2015. This alarming trend not only represents the largest economic wealth transfer in history but also poses a serious threat to innovation, investment, and overall economic stability. The impact of cybercrime is expected to surpass the damage caused by natural disasters and will likely be more profitable than the global trade of all major illegal drugs combined.
No nation is immune to these threats, and Uzbekistan could soon find itself among the top targets for hackers seeking to cause significant financial and operational damage.
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Impact of personnel shortage on cybersecurity effectiveness
The cybersecurity landscape in Uzbekistan faces significant challenges due to a shortage of qualified personnel, impacting the effectiveness of digital defences. Despite the creation of institutions such as the State Unitary Enterprise "Cyber Security Centre" and the Department for Combating Cybercrime, the lack of skilled professionals remains a pressing issue.
Several factors contribute to this shortage. While the number of cybersecurity graduates has increased, it still falls short of industry demand. The time required to train skilled professionals and the delay in gaining practical experience further exacerbates the problem. Additionally, limited investment in cybersecurity training, due to budget constraints, hampers the development of a skilled workforce.
This lack of expertise has tangible consequences for the country’s cybersecurity. Studies indicate that significant vulnerabilities contributing to cyberattacks stem from a lack of user awareness (27%), insufficient cybersecurity knowledge (26%), and inadequate funding for IT security solutions (8%). To address these issues, Uzbekistan must enhance educational and training programs to build a robust pipeline of cybersecurity professionals, thereby strengthening its defences against cyber threats.
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Legal framework
In Uzbekistan, a comprehensive law on cybersecurity was not established until April 15, 2022. Before this, cybersecurity matters, including telecom and internet security, were only briefly mentioned in various existing laws. Even now, the newly enacted Law on Cybersecurity has yet to fully integrate and unify the cybersecurity provisions from different sector-specific regulations.
This law primarily defines the authority of the State Security Service of Uzbekistan (DXX) but falls short of detailing the exact procedures for enforcing these powers. Instead, it leaves the development of such mechanisms to be guided by existing legislation or by the regulatory authority. Importantly, this law has introduced crucial concepts and brought together the fragmented cybersecurity standards that were previously scattered across multiple laws, presidential decrees, and government directives.
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Future outlook
Looking ahead, Uzbekistan’s cybersecurity landscape is poised for significant expansion. Revenue in the cybersecurity market is projected to reach approximately $72mn by 2024, reflecting a growing emphasis on protecting digital assets. Within this market, Cyber Solutions is expected to lead with a dominant share, reaching a market volume of over $45mn in 2024.
The sector is anticipated to experience robust growth, with an annual compound growth rate (CAGR) of 14.74% from 2024 to 2029. This growth trajectory suggests that the market volume could more than double, reaching nearly $144mn by 2029. Additionally, the average spend per employee in the cybersecurity market is projected to rise to almost $5 in 2024, indicating increased investment in cybersecurity measures.
While the United States will remain the largest revenue generator globally, with over $81bn expected in 2024, Uzbekistan's expanding market demonstrates a significant commitment to enhancing its cybersecurity infrastructure.
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