Cyber risk: Increased challenges to municipal bonds

A cyberattack on the city of Oldsmar in Florida was a watershed moment in the changing nature of municipal cyber risk. Despite its failure, the attack demonstrated the growing frequency of these events and the serious risks they pose to public finance agencies. It also emphasizes that cyber events pose a financial risk that could have an effect on municipal credit quality. In this Leaders panel from Texas Public Finance, experts Omid Rahmani, associate director of U.S. public finance with Fitch; Derek Vadala, CEO of VisibleRisk; and Edward Fierro, senior counsel of Bracewell, sat down with Lynne Funk, innovation editor at The Bond Buyer, to explore the tangible and intangible costs of cyber breaches and potential risk mitigation strategies that municipalities can implement.