Mumbai, Feb 7 : In a decisive step to enhance security and build trust in India’s digital banking ecosystem, Reserve Bank of India (RBI) Governor Sanjay Malhotra on Friday announced the launch of a dedicated internet domain, ‘bank.in’, exclusively for Indian banks. This initiative is designed to curb cyber fraud, including phishing attacks, and provide users with a safer digital banking environment.
The introduction of ‘bank.in’ aims to establish a trusted digital space where financial services can operate securely and efficiently. The Institute for Development and Research in Banking Technology (IDRBT) has been appointed as the domain’s exclusive registrar, with registrations set to commence in April 2025. Detailed guidelines for banks will be issued soon. Additionally, the RBI plans to launch ‘fin.in’, a similar domain specifically for non-banking financial institutions, to extend security benefits across the broader financial sector.
To further safeguard online financial transactions, the RBI announced that the Additional Factor of Authentication (AFA) will soon be mandatory for international card-not-present (CNP) transactions. This measure is intended to mirror the success of the AFA requirement already in place for domestic digital payments.
The AFA mechanism, which requires an additional verification step, has played a pivotal role in securing domestic digital transactions and boosting user confidence in cashless payments. By extending this feature to cross-border online transactions, the RBI aims to ensure that cardholders are protected even when shopping with international merchants that support AFA.
The RBI will soon release a draft circular for feedback from stakeholders, ensuring that the implementation is smooth and aligned with industry needs.
Under the proposed guidelines, banks and card issuers will be able to adopt a risk-based approach in determining the level of authentication required for each transaction. Factors like the transaction value, the channel used, and the risk profiles of both customers and beneficiaries will guide the appropriate security measures, balancing protection with user convenience.
With these measures, the RBI demonstrates its commitment to fostering a secure and resilient digital payments environment, ensuring that users can transact with confidence in an increasingly digital world.( With inputs from IANS)