RBI TO ISSUE CYBERSECURITY NORMS

RBI TO ISSUE CYBERSECURITY NORMS

Subject: Economy

Context : The Reserve Bank of India (RBI) will soon issue cybersecurity norms for payment service providers (PSPs), following a series of data breaches faced by operators including Mobikwik and payment aggregator JusPay.

Concept:

• While the standards for fintech-driven payment services providers will be similar to cyber hygiene norms issued recently for banks and non-banking finance companies (NBFCs), the RBI is quite clear that firms will have to do more than observe the minimum standards to ensure safety as digital transactions gain further traction.
• The National Payments Corporation of India (NPCI) had laid down a framework for a more even distribution of share of third-party app providers in the UPI system.

NPCI

• The National Payments Corporation of India (NPCI) is an umbrella organisation for operating retail payments and settlement systems under the ownership of Reserve Bank of India in India.
• Founded in: 2008.
• Headquarters: Mumbai.