On Friday, the RBI has reduced the repo rate by 25 basis points to reduce it for the first time in about five years to 6.25%. In addition, the Reserve Bank of India (RBI) has proposed a special “Fin.in” domain for non-banking institutions, furthering efforts to deal with increasing cyber threats in the financial sector. The move aims to create a more secure and indicated digital business environment for the entire industry, including Fintech, non-banking finance companies (NBFCs) and other financial services providers.
In its fresh policy statement released on 7 February, RBI said that “increasing cases of fraud in digital payments are a matter of concern. To deal with it, RBI is starting a special internet domain called ‘Bank.in’ for Indian banks. . ” The objective of this initiative is to control malicious activities such as cyber security hazards and fishing and secure financial services. This will increase confidence in digital banking and payment services. The RBI said the “Fin.in” domain would complement the upcoming “bank.in” domain, which will be launched in April.
The initiative managed by the Institute for Development and Research in Banking (IDRBT) aim to protect digital banking services from rising cyber security risks and malicious activities.
RBI Monetary Policy: GDP growth rate is estimated to be 6.7% in FY 2026, Retail inflation expected to be 4.2%
Secure international transactions
The RBI is also increasing its digital payment safety efforts to international transactions. The central bank has proposed to increase the requirement of the Additional Economics Factor (AFA) for online foreign card transactions, so that the same level of safety of compulsory security for domestic transactions can also be made available for international transactions. The RBI has said that it is proposed to implement AFA for international transactions, to provide the same security level as domestic transactions for international cards not present (online) transactions. “
This decision will ensure that the online transaction made by the cards issued by India will get an additional consultation layer of the authentication, provided the foreign trader is also AFA-enabled. A draft letter designed to this proposal will soon be issued for feedback from all stake holders.