According to the Reserve Bank of India's (RBI) Currency and Finance report for 2023-24, the average cost of data breaches in India reached $2.18 million in 2023, marking a 28 percent increase since 2020.

Furthemore, the report stated that India’s average data breach cost was moderately below the global average. Here, Phishing has been the most common attacks in India which stands at 22 percent which is followed by stolen or compromised credentials at 16 percent. The report also added, “In India, the average cost of data breaches stands at USDa 2.18 million in 2023, a 28 per cent increase since 2020 albeit less than the global average cost of data breach.”

Currently, the cybercrime costs are expected to reach USD 13.82 trillion by 2028 at the global level; witnessing an upsurge from USD 8.15 trillion in 2023.

Representing a 15 percent increase over three years, the average cost of a data breach has also increased to USD 4.45 million in 2023. Additionally, most central banks have increased their cybersecurity investment budgets by 5 percent since 2020.

The report highlighted, “Globally, cybercrime costs are expected to reach US$ 13.82 trillion by 2028, up from USD 8.15 trillion in 2023. The average cost of a data breach has also risen to US$ 4.45 million in 2023, a 15 per cent increase over three years. Recognising the significant costs involved, most central banks have increased their cyber security investment budgets by five per cent since 2020,” the report said.

Adding to this, India is at the forefront of the global digital revolution, as per the report, with digital technologies unlocking significant opportunities in financial inclusion and fiscal transfers. Having said so, the report also warns of the challenges posed by these technologies which include cybersecurity issues, data privacy concerns, and risks associated with vendors and third parties.