GCF and WEF to establish the Centre for Cyber Economics

• The Global Cybersecurity Forum (GCF) and the World Economic Forum (WEF) signed an agreement in Davos to establish the Centre for Cyber Economics (CCE)
• The Centre will focus on advancing knowledge and collaboration on the economic dimension of cybersecurity

 

Davos, January 23, 2025: The Global Cybersecurity Forum (GCF) and the World Economic Forum (WEF) signed an agreement to establish a new Centre for Cyber Economics (CCE) in Riyadh, aimed at increasing knowledge and understanding of the economic challenges and opportunities emerging in the rapidly evolving cyber landscape. The agreement was signed at the WEF Annual Meeting 2025 in Davos.

 

The CCE will focus on the economic dimension of cybersecurity, driving research, fostering cross-sector collaboration, and developing robust, evidence-based frameworks to enhance global cyber resilience, economic stability, and prosperity. 

 

Highlighting the significance of the Centre, H.E. Majed bin Mohammed Al-Mazyed, Governor of the National Cybersecurity Authority of the Kingdom of Saudi Arabia, acting on behalf of the Board of Trustees of the Global Cybersecurity Forum, said: "Cybersecurity is a catalyst for economic growth and social prosperity, playing an imperative role in shaping resilient economies. The Centre for Cyber Economics marks a decisive step towards advancing knowledge and understanding of the economic dimension of cybersecurity in order to safeguard economic growth, unlock new opportunities and reveal new pathways for cross-sector collaborations towards a resilient future for global economies." 

 

The establishment of the CCE comes at a time of increasing cyber risk and growing disparities in global cyber resilience. According to the World Bank's 'Cybersecurity Economics for Emerging Markets' report, high-income countries spend over $30 per capita on cybersecurity, compared to $1 per capita in developing countries, resulting in a significant protection gap.

 

SMEs and critical infrastructure sectors have also proven to be particularly vulnerable, with attacks on industries such as healthcare and finance having cascading effects on national economies during cyber incidents. Meanwhile, there is a pervasive global shortage of skilled cybersecurity professionals – estimated at 2.8 million in  GCF's recently published '2024 Cybersecurity Workforce' report.

 

Thus far, global efforts to address economic cyber risks have been hindered by knowledge gaps and a shortage of tools and mechanisms to tackle key issues. This includes a lack of quantitative models to accurately assess the economic impact of cyber risk, with the likelihood being that over 40% of cyber incidents remain unreported, as well as limited awareness among organizations of the benefits of investing in robust cybersecurity.

 

Inefficiencies are also apparent in the cyber insurance market, leaving many organizations without coverage, more typically SMEs. The average cost of a data breach surged by 13.4% between 2022 and 2023 for companies with fewer than 500 employees. The untapped potential of cybersecurity as an economic catalyst, the vulnerability of supply chains to cyber-attacks, and insufficient cybersecurity R&D funding are other key challenges that urgently require a global response.

 

Successfully countering these challenges offers tangible rewards. The World Bank estimates that reducing major cyber incidents could boost GDP per capita by 1.5% in developing countries. 

 

The CCE is uniquely positioned to advance knowledge frontiers in the economic dimension of cybersecurity. By harnessing the collective expertise and knowledge networks of GCF and WEF, the Centre will equip decision makers with an advanced understanding of the economic aspects of Cyberspace in a way that optimizes investment and drives sustainable growth. The CCE objectives include:  

• Advancing knowledge on the economic dimension of cybersecurity by developing robust models and frameworks that quantify the economic impact of cyber activities
• Empowering industries through collaboration and knowledge sharing by creating an ecosystem where industries can collectively address cybersecurity challenges and share best practices to ensure cybersecurity remains an integral tenet of advancing economic growth
• Fostering diversity in cybersecurity by creating equitable access to opportunities, and empowering underrepresented groups

Among other strategic goals, GCF supports the expansion of global economic opportunities in Cyberspace. In identifying cyber resilience inequity as its overarching focus, the CCE will bring together diverse stakeholders to generate actionable insights to bridge these gaps, underscoring GCF's commitment to advance collaboration toward a more inclusive and secure Cyberspace that enables prosperity for all.