Cyber Security Readiness for Mobile Banking Among Dt Saccos in Nairobi County

Abstract

The mobile Banking technology among the DT SACCOs has rapidly grown resulting from the digital transformation among the financial sectors. The technology is based on electronic banking where mobile can be transacted through mobile devices like mobile phones. The SACCOs ventured into electronic banking to meet the demanding and competitive banking markets (Salehi & Alipour, 2010). There has been an alarming rise in the cybersecurity attacks within the financial industry that includes banks, microfinances, and SACCOs. These attacks have led to financial and other forms of losses like corruption or destruction of data, unauthorized access to confidential information, compromised system and applications and opportunity costs, including disruption in delivery of services (Wechuli, Wabwoba & Waska, 2017). According to GSMA mobile money report 2019, and Serianu report 2019/20 financial institutions have lost $1.7 billion via cybersecurity over mobile money hence need for address. This research study is intended among other objectives to develop a cybersecurity blue print on Mobile Money Cybersecurity Readiness among SACCOs in Nairobi County by identifying a more suitable roadmap to implement the framework in the SACCO. The study engaged a mixed type of methods in which a quantitative research strategy with a descriptive research design was used to gather data concerning to the status of the situation at the current state which is relating to topic being researched. At first, operationalization of the Linkert scales was done. A descriptive analysis was carried out, correlation and factor analysis was done followed by multiple regression analysis to the Linkert scales. Based on the results, descriptive analysis demonstrated a perception that concerns the current cybersecurity mobile money readiness among the DT SACCO. From the correlation analysis there is a strong positive correlation and positive significant between the SACCO Governance Support and Contribution, Mobile Money Cybersecurity Policies, Cybersecurity Skills, Training and Awareness Programs, Legal & Regulatory Compliance with Cybersecurity Requirements and Proactive Mobile Money Monitoring & Audit were recognized as being the critical strategies influencing Adequate Mobile Money Cybersecurity Readiness among the DT SACCOs in Nairobi City County in Kenya. The study focused on collecting cybersecurity data from SACCOs which are financial institution and they regard such information as highly confidential and possess challenges obtaining it. The study was also conducted during the COVID 19 pandemic. The study is of value as it addresses the gap where previous cybersecurity studies never prioritized mobile money. It also gives a Blue Print which guides the DT SACCOs to address the losses and create resilience for managing cybersecurity mobile banking readiness. This research study concludes by giving a cybersecurity blue print on mobile money cybersecurity readiness among DT SACCOs and also insists the critical focus on the Proactive Mobile Money Monitoring & Audit strategy. The guidelines in the blue print are as well recommended to be adopted by other DT SACCOs of nature outside the study area. Key Words: Cybersecurity, SACCO, Mobile Banking, Readiness, Blue Print, Adequate cybersecurity.