In view of the increasing cyber threats, the Reserve Bank of India (RBI) today said that very soon new guidelines will be issued for the ATM service providers. The monetary policy committee (MPC) said "a number of commercial banks, urban cooperative banks and other regulated entities are dependent upon third party application service providers for shared services for ATM Switch applications. Since these service providers also have exposure to the payment system landscape and are, therefore, exposed to the associated cyber threats, it has been decided that certain baseline cyber security controls shall be mandated by the regulated entities in their contractual agreements with these service providers".
"The guidelines would require implementation of several measures to strengthen the process of deployment and changes in application softwares in the ecosystem; continuous surveillance; implementation of controls for on storage, processing and transmission of sensitive data; building capacity for forensic examination; and making the incident response mechanism more robust."
RBI also proposed introduction of prepaid payment instruments (PPI) which can be used only for purchase of goods and services up to a limit of Rs10,000.
RBI today kept the repo rate unchanged at the current 5.15 per cent level but revised gross domestic product (GDP) growth projection to 5 per cent from 6.1 per cent for the current financial year 2019-20.