FM Sitharaman Reviews Cybersecurity Preparedness of Banks Amid Rising Border Tensions
- FM Sitharaman reviewed banks' cybersecurity amid border tensions.
- Banks have strengthened cyber defences and are on high alert.
- Uninterrupted banking and UPI services were emphasized.
With rising geopolitical tensions on the borders, Union Finance Minister Nirmala Sitharaman called a high-level meeting to review India's banking and insurance sectors' operational and cybersecurity readiness. Managing Directors and CEOs of public sector banks, private sector banks, insurance firms, and senior officials from regulatory and financial institutions attended the meeting.
Key officials from the Department of Financial Services (DFS), Reserve Bank of India (RBI), Insurance Regulatory and Development Authority of India (IRDAI), Indian Computer Emergency Response Team (CERT-In), and National Payments Corporation of India (NPCI) attended the session. The key focus was on ensuring the smooth working and strengthened cybersecurity of the financial system, particularly digital-facing channels like internet banking and UPI, in the face of growing threats.
Top bankers updated the Finance Minister on overall steps being taken to bolster cybersecurity throughout the financial ecosystem. Officials informed that banks have instituted strong anti-DDoS systems to protect against mass-scale cyber-attacks. They also added that mock exercises simulating cyber and disaster recovery were held at top levels to stay prepared.
The Bank Security Operations Centres (SOCs) and Network Operations Centres (NOCs) are reported to be working at peak efficiency and with increased vigil. These centers are in constant coordination with CERT-In as well as the National Critical Information Infrastructure Protection Centre (NCIIPC) for facilitating real-time threat intelligence sharing and watch.
The Finance Minister underlined the strategic significance of having an uninterrupted and safe financial system in times of crisis. She instructed all banks to be on their highest alert and proactive at all times, providing uninterrupted access to digital as well as physical banking facilities to citizens and enterprises, especially in vulnerable border regions.
"Banking operations should not collapse. Citizens should have access to smooth ATM withdrawals, internet banking, and UPI services at all times", Sitharaman said, pointing out that emergency procedures should be revised and frequently tested.
Showing concern over the safety of bank staff deployed in sensitive areas, Sitharaman asked banks to give importance to the welfare of their staff and work closely with security agencies to ensure their safety. She demanded that business should be carried on without any disruption while keeping safety at all levels intact.
The Finance Minister directed banks to appoint two senior officers at their headquarters — one to deal with reporting cyber incidents and the other to deal with operational continuity, including cash operations and branch operations. These officers are to report cyber or operational incidents to CERT-In and DFS in real time.
She also demanded periodic audits of cybersecurity systems and data centres, requiring 24/7 monitoring and firewalls to safeguard core banking and digital infrastructure from hostile or malicious use.
Insurance firms were not exempted from the review, with Sitharaman directing them to ensure prompt settlement of claims and provision of uninterrupted customer services, especially in sensitive or affected areas.
In addition, sponsor banks were requested to provide complete support to Regional Rural Banks (RRBs) and assist them in overcoming operational or technical difficulties during this crucial period.
Reaffirming the government's firm commitment to national security and economic stability, Sitharaman ensured that India's banking and financial systems are strong and resilient. "We need to remain prepared and ensure that no business or citizen is hurt due to disruptions. The country's financial backbone needs to be strong and responsive," she added.
The sit-down is set against the background of cross-cutting vigilance being reawakened by increasing external threat, positioning cybersecurity and seamless access to finance in the spotlight of national readiness.
