RBI: Digital products make financial sector more complex [Video]

The Reserve Bank of India (RBI) sees India’s financial sector growing increasingly complex due to the rise of various digital products, shared market infrastructure, and common information technology (IT) service providers. While the central bank is committed to improving the digitalization of banking services, it also has been busy addressing growing cybersecurity threats.

“The financial sector has indeed become more complex, with the development of multiple digital products, common market infrastructure, and common service providers for IT services. These developments have elevated both the micro-prudential and macro-prudential risks,” Shaktikanta Das, RBI Governor, said at the CNBC-TV18 Global Leadership Summit. 

“The Reserve Bank has been proactive in addressing the growing cybersecurity challenges in the financial sector by issuing regulations related to basic cyber hygiene in regulated entities, digital payments security controls, IT outsourcing and IT governance,” Das elaborated.

The world’s fastest-growing major economy recently reported an unprecedented rise in digital payments fraud. It strives to become …