Bank of Canada warns of cyber attacks

Canada’s interconnected banks are vulnerable to a cascading series of cyberattacks that could undermine broad confidence in the financial system, the Bank of Canada has cautioned the banks and the Canadians.

The structural vulnerability could allow for the easy spread of an initial attack that ripples into other sectors such as energy or water systems, highlights the bank’s June financial review. The report urges banks to co-operate on countering the threats that are not going away any time soon. The former head of the U.S. National Security Agency made the same recommendation earlier this month, saying private-sector companies — including banks — have to do a better job of sharing data on attempted hacks in real time to counter the ongoing challenge.