India gets new digital payment fraud watchdog
What's the story
The Indian government has launched the India Digital Payment Intelligence Corporation (IDPIC) to combat cyber financial frauds. The initiative was announced by Finance Minister Nirmala Sitharaman in a Rajya Sabha session. The IDPIC will provide real-time fraud intelligence and alerts to banks and financial institutions using technologies like Artificial Intelligence (AI), Machine Learning (ML), and Big Data Analytics.
Collaborative initiative
IDPIC established in consultation with RBI
The establishment of IDPIC is by the Indian government in consultation with the Reserve Bank of India (RBI).
Sitharaman said, "To contain cyber financial frauds, the government in consultation with the RBI has set up India Digital Payment Intelligence Corporation (IDPIC)."
The move comes as part of efforts to tackle the increasing number of cyber frauds in India.
Cybersecurity measures
Strengthening cybersecurity infrastructure
Sitharaman also highlighted the government's proactive approach in dealing with cyber threats.
She said, "The government has been actively engaging with the financial sectoral regulators to strengthen the cybersecurity posture of financial institutions."
This is part of a larger strategy to enhance India's cybersecurity infrastructure and protect its financial institutions from potential cyber threats.
Cyber threat monitoring
National Cyber Coordination Centre (NCCC)
The Indian Computer Emergency Response Team (CERT-In) has set up a National Cyber Coordination Centre (NCCC).
The NCCC monitors cyberspace at the metadata level to identify potential cybersecurity threats.
It also enables real-time information sharing with relevant organizations, regulators, and other stakeholders for timely preventive and response actions against these threats.
Incident response team
Computer Security Incident Response Team for the Financial Sector (CSIRT-Fin)
A nodal Computer Security Incident Response Team for the Financial Sector (CSIRT-Fin) has also been established under CERT-In's supervision.
Its responsibilities include gathering and analyzing information on cyber incidents, issuing sector-specific alerts and advisories, coordinating cyber incident response activities, and monitoring sectoral efforts toward maintaining a dynamic cybersecurity architecture in the financial sector.
Regulatory group
Inter-Regulatory Technical Group (IRTG)
Under the Financial Stability and Development Council (FSDC), an Inter-Regulatory Technical Group (IRTG) has been constituted.
The group will discuss and address various issues in the financial sector that require coordinated actions from multiple regulators.
This is another step by the government to ensure a secure and stable financial ecosystem in India.