The Union Budget 2024-25 is fast approaching, and cybersecurity startups are eagerly awaiting the government’s focus on promoting robust cybersecurity infrastructure, data privacy, and responsible Artificial Intelligence development. This anticipation comes in the wake of increased cyber threats and an evolving technological landscape. In the interim budget for 2024-25, the government increased its cybersecurity allocation from INR 400 crore in 2023-2024 to INR 750 crore.
However, industry leaders believe that even more substantial investments are needed to effectively address emerging cyber threats. Ashish Tandon, Founder and CEO of Indusface, said, “We saw a 267% jump in attacks on Indian websites and APIs in Q1 FY’24 vs Q1 FY’23 according to our State of Application Security Report. We are increasingly seeing low-rate DDoS attacks, botnet-driven credential stuffing, and brute force attacks.
Over 90% of apps have faced a bot attack, and 70% of sites have faced a DDoS attack.”
Industry leaders are calling for substantial funds to fortify national cybersecurity infrastructure, particularly in critical sectors. According to the CISCO Cybersecurity Readiness Index 2023, only 24 percent of Indian organizations have the necessary resources to address their cybersecurity challenges, while over 30 percent are still in the initial stages of preparedness. Pankit Desai, founder and CEO of Sequretek, stated, “Government should allocate significant funds to strengthen national cybersecurity infrastructure, including critical sectors like banking, energy, healthcare, and transportation.
Check Point Software Technologies reported that the Indian healthcare sector has experienced an average of 6,935 cyberattacks per week over the last six months, compared to 1,821 attacks per organization globally.
Desai further emphasized the need for dedicated funding to enhance cybersecurity measures in government departments and public sector enterprises. He added, “Government should provide dedicated funding for cybersecurity measures in government departments and public sector enterprises to prevent data breaches and cyberattacks.
Cybersecurity funding awaits government decision
Also, provide financial incentives and grants to cybersecurity start-ups to foster innovation and develop cutting-edge solutions.
Tandon highlighted, “India has been encountering a huge increase in attacks year on year, leading to regulators tightening compliance for businesses and government. However, the budgets for cybersecurity are not keeping pace with the requirements. The finance ministry should consider providing short-term financial benefits to businesses investing in meeting these compliance obligations, upholding the government’s commitment to the cybersecurity of citizens.
DD Mishra, VP Analyst at Gartner, shared the IT sector’s expectations for the upcoming budget, saying, “The IT sector anticipates that the government will allocate funds in Budget 2024 for the development of digital infrastructure, such as high-speed internet connectivity and enhanced cybersecurity measures.
This investment would support the growth of the IT industry and enable digital transformation initiatives. Additionally, incentives for research and development (R&D) and tax benefits are expected to encourage innovation, particularly in AI and AI-enabled capabilities.”
The development of cybersecurity skills is another key area of focus in the face of increasing cyber threats. Leaders advocate for investments in educational programs at universities and technical institutions to produce highly skilled cybersecurity professionals for the nation.
Akshay Joshi, Head of Industry, Cybersecurity, World Economic Forum (WEF), said in January 2024 that India is currently experiencing a shortage of roughly 800,000 cybersecurity professionals. Desai noted, “Investment in educational programs at universities and technical institutions is crucial to build a robust pipeline of cybersecurity professionals. Subsidizing industry-recognized cybersecurity certifications for professionals to ensure continuous skill development is also essential.
Additionally, fund nationwide campaigns to raise awareness about cybersecurity best practices among businesses and the general public.”
Mohan Krishnamurthy Madwachar, Country Manager at Sattrix, added, “Lowering GST on cybersecurity products and services would make them more accessible, encouraging broader adoption.”
Mishra concluded, “There is also an expectation for the government to introduce initiatives for skill development and upskilling programs to meet emerging industry requirements. This could involve partnerships with educational institutions and industry bodies to bridge the skill gap and enhance workforce employability.
As Budget 2024 looms, it is clear that robust measures and increased funding for cybersecurity are not just anticipated but necessary to safeguard India’s digital future.
