Financial systems within the Pacific island nation of Palau were impacted during a cyber attack on March 26th, payment management went back to manually processing payments likely to make it harder for government employees to get paid.
The government is still trying to recover from the attack and making efforts to restore payroll systems.
Palauan President Surangel Whipps Jr. said this is the first ransomware and cyber attack against the Palauan government. Whipps also claimed the attack likely originated from Malaysia with Chinese or Russian ties, although this is not confirmed.
Whipps Jr. called for a stronger cybersecurity plan for Palau to protect sensitive information and finances. He also requested assistance from the United States and Taiwan.
The Ministry of Finance’s National Treasury notified government employees that standard tax deductions for income, Social Security, pensions, and health insurance will be withheld from their salaries.
However, the ministry said employees are still responsible for payments such as utilities, bank deposits, and similar expenses.
