New Delhi: Regional rural banks (RRBs) will look to establish cyber security operations centres (CSOCs) with capabilities in threat intelligence, log management, and security information and event management (SIEM) as part of the reform agenda for 28 regional lenders. They will also build capabilities for periodic vulnerability assessment and penetration testing (VAPT) of systems and applications, incident detection and response, and automated reporting and escalation, two bank executives said. "As new AI models pose a threat to the banking system, it is important that RRBs are also geared up for these challenges," said one of the executives, requesting anonymity. Also Read | ‘Wars now target economies’: PM Modi warns of ‘cyber terrorists’, calls for stronger banking security The Financial Stability and Development Council (FSDC) also discussed measures to improve the cyber security preparedness of RRBs, the executive added. Live Events Under Utkarsh, the reform agenda for RRBs, the lenders will develop a data and analytics layer to streamline regulatory and management reporting. They will also deploy enterprise fraud risk management systems (EFRMS) to strengthen early warning mechanisms and preventive action. "The sponsor banks will be shepherding their regional rural banks to improve monitoring and oversight, including corporate governance," said the second executive. Also Read | Rail passengers opting for 45-paise travel insurance at counters must pay digitally from Oct 27 In 2024, technology service providers to some RRBs were hit by a ransomware attack, following which customers could not access payment systems during the period of isolation by the National Payments Corporation of India (NPCI). Under the Utkarsh reform agenda, RRBs will also look to implement enterprise data warehouse (EDW) and data lake solutions to enable standardised data reporting, analytics and visualisation, business intelligence, and performance management. Last week, Prime Minister Narendra Modi said that as India becomes economically stronger, protecting the banking system from cyber robbers and cyber terrorists is imperative. "The nature of cyber threats is changing. We cannot confront these emerging challenges with outdated systems, old training methods and obsolete tools. We need modern infrastructure as well as a skilled workforce," he said. Last week, the FSDC also reviewed the cyber resilience of the Indian financial sector and took note of the Financial Sector Cyber Security Strategy (FSCSS), formulated by an inter-ministerial group comprising financial sector regulators and cyber security agencies. "The implementation of the FSCSS is expected to strengthen the overall resilience of the Indian financial sector," the finance ministry said in a statement. Add as a Reliable and Trusted News Source Add Now! (You can now subscribe to our Economic Times WhatsApp channel)
Regional rural banks to set up cybersecurity centres
New Delhi: Regional rural banks (RRBs) will look to establish cyber security operations centres (CSOCs) with capabilities in threat intelligence, log management, and security information and event management (SIEM) as part of the reform agenda for 28 regional lenders. They will also build capabilities for periodic vulnerability assessment and penetration testing (VAPT) of systems and applications, incident detection and response, and automated reporting and escalation, two bank executives said. "As new AI models pose a threat to the banking system, it is important that RRBs are also geared up for these challenges," said one of the executives, requesting anonymity. Also Read | ‘Wars now target economies’: PM Modi warns of ‘cyber terrorists’, calls for stronger banking security The Financial Stability and Development Council (FSDC) also discussed measures to improve the cyber security preparedness of RRBs, the executive added. Live Events Under Utkarsh, the reform agenda for RRBs, the lenders will develop a data and analytics layer to streamline regulatory and management reporting. They will also deploy enterprise fraud risk management systems (EFRMS) to strengthen early warning mechanisms and preventive action. "The sponsor banks will be shepherding their regional rural banks to improve monitoring and oversight, including corporate governance," said the second executive. Also Read | Rail passengers opting for 45-paise travel insurance at counters must pay digitally from Oct 27 In 2024, technology service providers to some RRBs were hit by a ransomware attack, following which customers could not access payment systems during the period of isolation by the National Payments Corporation of India (NPCI). Under the Utkarsh reform agenda, RRBs will also look to implement enterprise data warehouse (EDW) and data lake solutions to enable standardised data reporting, analytics and visualisation, business intelligence, and performance management. Last week, Prime Minister Narendra Modi said that as India becomes economically stronger, protecting the banking system from cyber robbers and cyber terrorists is imperative. "The nature of cyber threats is changing. We cannot confront these emerging challenges with outdated systems, old training methods and obsolete tools. We need modern infrastructure as well as a skilled workforce," he said. Last week, the FSDC also reviewed the cyber resilience of the Indian financial sector and took note of the Financial Sector Cyber Security Strategy (FSCSS), formulated by an inter-ministerial group comprising financial sector regulators and cyber security agencies. "The implementation of the FSCSS is expected to strengthen the overall resilience of the Indian financial sector," the finance ministry said in a statement. Add as a Reliable and Trusted News Source Add Now! (You can now subscribe to our Economic Times WhatsApp channel)
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