The Implications of Cybercrime on Economic Security: The Case of Kenya

Abstract

The research study examined the evolving landscape of cybercrime and its significant implications on economic security within Kenya. As the digital economy rapidly grows, cyber threats have become increasingly sophisticated and pervasive, posing significant risks not only to individual entities but also to national security. In Kenya, a nation at the forefront of digital transformation in Africa, these threats have escalated, challenging the ability to safeguard vital economic infrastructures. The study used a mixed-methods approach, combining qualitative and quantitative techniques to analyze Kenya’s cybercrime landscape. The theoretical framework was based on securitization, deterrence, and routine activity theories, offering a strong foundation for understanding cybercrime’s impact on economic security. Data was collected through an extensive literature review and engagement with professionals from various sectors, including government, security agencies, and academia. Participants, with 1 to 30 years of experience, provided key insights into Kenya’s cybersecurity state. An 80% response rate was achieved, ensuring the findings were valid, reliable, and representative of the broader cybersecurity landscape. The study reveals critical issues in Kenya’s cybersecurity landscape. Despite digitalization efforts and security policies, there remains a significant gap in public cyber threat awareness, leaving many vulnerable to attacks. The 2017 cyber-attack on the National Bank of Kenya, resulting in the theft of KES 29 million ($280,000), highlights the need for stronger cybersecurity measures and public education. The study also identifies the asymmetric nature of cybercrime, which, unlike traditional crimes, transcends borders, making it harder to predict and mitigate. The global interconnectedness of the internet exacerbates this challenge, necessitating a shift from reactive to proactive cyber threat strategies. The study recommends immediate implementation of comprehensive cyber literacy programmes for the public, focusing on common threats, safe practices, and basic cybersecurity, with tailored content for different demographics. Cybersecurity education should be integrated into the national curriculum from the primary level to foster early awareness. It also highlights the need for collaboration among all stakeholders – government, private sector, academia, and civil society to share information and best practices. Organizations, especially in critical sectors like banking, healthcare, and government, should adopt robust security measures, including advanced detection systems and regular audits. The study also suggests further that the government should consider employing local ethical hackers to identify vulnerabilities and counter cyber threats, particularly in government and critical infrastructure.