‘Cybersecurity tops risk list for India Inc’

The survey found that technology-related risks are now closely linked to business continuity, reputation and financial stability. Changing customer demands were identified as the second most critical risk by 49 per cent of respondents, followed by geopolitical developments at 48 per cent

Cybersecurity breaches and cyberattacks have emerged as the biggest threat to Indian companies’ organisational performance, with 51 per cent of senior leaders flagging it as their top risk, according to the FICCI-EY Risk Survey 2026 released on Sunday.

The survey found that technology-related risks are now closely linked to business continuity, reputation and financial stability. Changing customer demands were identified as the second most critical risk by 49 per cent of respondents, followed by geopolitical developments at 48 per cent.

Rapid technological change and digital disruption are already impacting competitiveness, with 61 per cent of respondents stating that such shifts are affecting their market position. An equal proportion cited cyberattacks and data breaches as major financial and reputational threats. More than half of the respondents highlighted risks of data theft and insider fraud, while nearly half admitted difficulties in dealing with increasingly sophisticated cyber threats.

Artificial Intelligence has emerged as a double-edged concern for India Inc. While 60 per cent believe that inadequate adoption of emerging technologies, including AI, could hurt operational efficiency, 54 per cent feel that AI-related risks such as ethical, governance and misuse issues are not being effectively managed.

Workforce-related risks also featured prominently. About 64 per cent of executives pointed to talent shortages and critical skill gaps as a threat to performance, while 59 per cent expressed concern over weak succession planning.

Regulatory and compliance challenges remain significant, with 67 per cent of respondents agreeing that regulatory changes pose risks, and 40 per cent stating their compliance frameworks are struggling to keep pace.

Climate and ESG risks are increasingly translating into financial exposure. Nearly 45 per cent cited climate change impacts on operations in India, while 44 per cent warned of risks from non-compliance with ESG disclosure norms. Supply chain disruptions also continue to worry 54 per cent of senior leaders.