Digital Transformation, Cyber Risk, Governance in Global Digital Trade: Challenges and Resilience Strategies

Abstract

The swift in Digital Trade has revolutionised global trade and commerce in the post-pandemic era, restructuring the way businesses manage their transactions, supply chains and engage with cross-border consumers. The rise in cyber fraud and increasingly sophisticated cybersecurity threats has exposed as digitalisation has enhanced efficiency, connectivity and market access. The study investigates the interconnection of digital transformation, cybersecurity and governance within digital trade ecosystems, highlighting the growing complexity of managing digital risk in a highly interconnected global economy. The study also examines how the increased digitalisation of transactions, cloud-based platforms, cross-border data flows and artificial intelligence-driven systems have created new vulnerabilities, challenging the existing framework for fraud prevention, data protection, and digital compliance. The interdependence of online transactions and digital payment systems increased the scope for cybercriminal activities, which intensified the need for stronger regulatory supervision and control. The study evaluates the effectiveness of regulatory responses, including cybersecurity laws, digital trade agreements, and institutional policy mechanisms in mitigating these risks by using secondary data from government reports, journals, articles, etc. The study also explores the importance of integrated resilience strategies that combine regulatory coordination, ethical data, governance, organisational preparedness, and technological safeguards. The research underscores the necessity of building trust, transparency, and long-term sustainability within the evolving global digital economy by aligning technological innovation with secure and responsible trade practices.