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UKRAINE

EXPLAINED: How Germany is preparing to ward off future cyberattacks

Following the invasion of Ukraine, the German government is having to reckon with the dark side of digitalisation: the potential for cyberattacks. Here's what's you need to know.

Cyberattacks
A hacker carries out a cyberattack. Photo: picture alliance/dpa | Helmut Fohringer

What’s going on? 

With relations between Russia and the West arguably at their worst since the Cold War, fears are rising that Germany could soon become the victim of high-scale cyberattacks. 

Such attacks have been known to target elements of critical infrastructure like the energy or water supply, or even attempt to shut down systems in hospitals. In other cases, cybercriminals attempt to interfere with financial markets or pull sensitive data from government departments and agencies. 

“There is currently an increased danger of cyber attacks in Germany in the form of cyber espionage and cyber sabotage,” Baden-Württemberg’s interior minister Thomas Strobl told DPA. “We must increasingly expect wars to be waged in cyberspace and to have an impact on our cyber security.”

One key concern is that, in many cases, Germany is restricted to just one or two suppliers of energy or water per region, which analysts believe is not enough to protect the supply in the event of a cyberattack. 

Another issue is the fact that Germany is currently undergoing a period of relatively rapid digitalisation, leaving more of its infrastructure exposed to such attacks.

“With growing digitalisation, the potential attack surface is also growing, we are also becoming more vulnerable,” said Strobl, adding that computer centres at universities, commercial enterprises and individual citizens are becoming targets. 

READ ALSO: Majority of Germans worried about ‘major war in Europe’

Have there been any recent cyberattacks in Germany?

In today’s highly digitalised landscape, cyberattacks are unfortunately a fact of life and something that most businesses and governments have had to learn to live with. 

However, not all cyberattacks cause an equal amount of disruption or damage, so it’s partially a question of scale.

In February, a cyberattack on an oil company called Oiltanking and Mabanaft affected numerous petrol stations across northern Germany, as well as in the Netherlands and Belgium.

The so-called ‘ransomware’ attack – in which hackers disable systems and then offer to put them back online in return for a ransom – affected the firm’s logistics and loading systems, making it hard for the company to operate as normal. 

However, there was – and still is – no evidence that this was carried out by Russia.

The real fear is that something like the notorious SolarWinds attack in the United States occurs. In 2020, hackers that were believed to be working for Russia managed to silently slip into the network of a piece of management software known as FireEye, and through this single weak point, managed to pull huge swathes of data from companies using that software. 

“In this case, it meant that Russian intelligence had potential access to as many as 18,000 SolarWinds customers,” Wired reporter Lily Hay Newman wrote of the fallout.

“They ultimately broke into fewer than 100 choice networks – including those of Fortune 500 companies like Microsoft and the US Justice Department, State Department, and NASA.”

Attacks like these could be devastating in Europe and potentially used to try and mine state secrets. At present, however, there’s no sign that similar attacks have been attempted in Germany.

READ ALSO: How prepared is Germany in the event of a military attack?

Is the government trying to mitigate these risks?

As Chancellor Olaf Scholz (SPD) made clear in a recent speech, a strengthening of cyber capabilities is definitely on the agenda.

Speaking in his emergency address to the Bundestag on Sunday, Scholz revealed plans to strengthen the country against potential cyberattacks and explained that “not all attacks are made against the army”. 

“That is why we need strong cooperation in research and development,” he said. “That is why we will strengthen our resilience – technically and socially – for example against cyber attacks and disinformation campaigns; against attacks on our critical infrastructure and communication channels.”

Olaf Scholz Bundeswehr

Chancellor Olaf Scholz meets the commanders of the German military. Photo: picture alliance/dpa/EPA Pool | Clemens Bilan

Federal Interior Minister Nancy Faeser (SPD) has also pledged to expand cyber defence in response to the Russian invasion of Ukraine.

“We have to think more about countermeasures against cyber attacks,” Faeser told Spiegel on Friday. “It’s a matter of targeted measures to identify perpetrators and crime structures, also abroad, to uncover their concealment measures, behind which they believe they are safe, and to prevent attacks from being carried out”.

What are businesses doing to prepare? 

The Federal Association for the Protection of Critical Infrastructure (BSKI) believes the threat of cyberattacks is increasingly serious and that businesses should make arrangements for this eventuality.

In concrete terms, the association recommends all companies have IT specialists to hand to get services back up and running as well as emergency procedures and backups for the event of a cyberattack.

BSKI member NovaStor has also set up a free hotline where companies can get free advice on cybersecurity measures and assess whether their backups are sufficient. 

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GERMANY AND UKRAINE

What a Russian victory in Ukraine would mean for Germany

For German residents, there is reason to fear a Russian victory in Ukraine. A new mass exodus of refugees would create bottlenecks in housing, childcare and schools, among other issues.

What a Russian victory in Ukraine would mean for Germany

Recent news from Ukraine has been bleak. The surge in missile and drone attacks on Ukrainian power plants over recent weeks has plunged whole districts of the capital into darkness for hours on end.

Kyiv has outlined a five-point strategy to weather the storm, including electricity rationing, urging help from abroad, receiving more air defence systems, and overhauling the grid.

Ukrainian President Volodymyr Zelensky this week said Ukraine needed “quick” and “cost-effective” repair work ahead of winter.

“We need your equipment and financial support to respond now and maintain normal life,” he told a reconstruction conference in Berlin.

While a plan to use frozen Russian assets for war-torn Ukraine dominates G7 talks in Italy on Thursday, there are voices in Germany – especially among the far-right AfD party – that would rather Germany cut off all its support for Ukraine. But these pro-Russian positions, veiled as arguments for peace, tend to ignore how dramatically a Russian victory in Ukraine would shake Germany.

An investigation by Tagesspiegel looked at what exactly a Russian victory would mean for people living in Germany. Here are the main impacts.

Germany would need to dramatically increase military spending

Andreas Schwarz, the SPD budgeter responsible for the defence budget has warned that if Ukraine lost the war, Germany would be forced to spend even more money on defence in one fell swoop.

Russia would suddenly be at the NATO border in Europe feeling militarily superior.

German defence expert Roderich Kiesewetter suggests that Germany would run out of ammunition after a few days in the event of a direct war. Kiesewetter has called for at least three percent of Germany’s gross domestic product to be invested in armaments.

Germany has made efforts to up its defence spending recently, but it is still unclear if the country will maintain a two percent GDP target for defence spending going forward.

But a sense of urgent need to ramp up Germany’s military defences does seem to be growing. On Wednesday Defence Minister Boris Pistorius announced a plan to bring back conscription to the armed forces.

Recently, former British Armed Forces Minister James Heappey estimated that a Ukrainian defeat would cost the West collectively trillions of dollars.

READ ALSO: Is Germany gearing up to reintroduce compulsory military service?

Pistorius with members of the army

Ukrainian President Volodymyr Zelensky (centre left) and German Defence Minister Boris Pistorius (centre right) stand with Ukrainian and German soldiers during a visit to a military training area in Mecklenburg-Vorpommern, north-eastern Germany, on June 11, 2024. Photo by Jens Büttner / POOL / AFP

Higher prices

Ukraine is one of the largest agricultural exporters in the world and also has stocks of rare earths and critical minerals.

A Russian takeover of the country would likely spell massive price fluctuations for goods like Ukrainian grain – which would spell increased grocery prices in Germany as a start, according to many economic projections.

More war refugees in Europe

Migration researcher Gerald Knaus told the Tagesspiegel that a Russian victory in Ukraine could “turn another ten million people into refugees”.

In parts of eastern Ukraine, such as the metropolis of Kharkiv, Russia has been wearing down peoples’ will to stay with near constant bombardment. 

Hundreds of thousands of people living there regularly go without electricity due to destroyed substations and infrastructure. Kharkiv alone is home to 1.3 million, including 200,000 internally displaced persons.

According to Eurostat, since the beginning of the war, 4.3 million Ukrainians have fled to neighbouring European countries. At 1.27 million, Germany has taken in the majority.

READ ALSO: Two years later, two Berlin residents from Ukraine on how war affects their lives

Germany’s interior ministries don’t expect tensions to ease soon. The Federal Office for Migration (BAMF) continues its efforts to distribute refugees across the country, but there is no doubt that in many places resources are running thin.

Helmut Dedy, Chief Executive of the Association of German Cities has called on federal and state governments to provide more facilities.

Increased pressure on the welfare system

Many refugees from Ukraine, and indeed many refugees broadly, are dependent on state benefits for some period of time after arriving in Germany.

As of January the employment rate among refugees from Ukraine was around 25 percent. In December of last year 710,000 Ukrainians received citizen’s allowance.

Refugees are obliged to apply for a work permit in Germany before they can join the workforce. Additionally they face a language barrier, and many of their professional qualifications may not be immediately recognised.

School and day care spots running thin

Since the outbreak of Russia’s invasion of Ukraine, nearly 220,000 children and young people who have fled the country have enrolled in German educational institutions.

So far German states have managed to handle the situation relatively quietly, but there is reason to believe that further stress on the system would be more than it can take.

A Ukrainian student in a German classroom

A name badge with an Ukrainian name seen in an international class at the Max-Ernst comprehensive school (Gesamtschule) in Cologne. (Photo by Ina FASSBENDER / AFP)

The president of the North Rhine-Westphalian Teachers’ Association suggests that the region he represents is already at its limit.

The German Association of Cities and Towns and the Association of Towns and Municipalities (DStGB) have also identified a shortage of school and day care places, as well as shortages of language courses and staff for integration services.

Germany’s educational system has already shown signs of stress – in the form of teachers’ strikes and school dropouts – before an additional influx of students are added into the mix.

Exacerbating the housing shortage

In response to the initial wave of incoming Ukrainian refugees, a section of the Building Code was enacted which allowed for the construction of new refugee accommodation without a development plan.

In some places, especially in parts of eastern Germany with growing vacancies, the influx of Ukrainians actually helped to stabilise the housing market.

But in cities where a severe shortage of housing has already been growing for years, there is no doubt that any number of incoming residents only adds stress.

Such is not only the case in popular cities like Berlin, Hamburg or Munich. In Mecklenburg-Western Pomerania, for example, the local Ministry of the Interior sees municipalities facing a major challenge in providing housing.

READ ALSO: ‘Tense housing situation’: Why a Berlin renter can’t be evicted for two years

German defence expert Roderich Kiesewetter emphasises that the aforementioned impacts on German life are not yet a foregone conclusion. He told Tagesspiegel that Ukraine could still defend itself and restore its 1991 borders according to international law, “But only if we support them accordingly and stop setting red lines for Ukraine and us”.

With reporting by AFP.

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