MUMBAI: Reserve Bank of India (RBI) Governor Sanjay Malhotra, in his first meeting with bank CEOs on Monday, issued a strong call to action for tackling the surge in digital frauds, urging banks to implement robust systems and enhance oversight over IT and cybersecurity risks.
The governor also pushed for deeper financial inclusion, affordable credit, improved digital literacy, and better customer grievance redressal mechanisms. “Banks must work proactively to mitigate risks and strengthen customer service to ensure financial stability,” he said during the meeting, as per an RBI statement.
This marked the first engagement between senior RBI officials and bank leadership in seven months, following the last meeting in July 2024. CEOs from both public and private sector banks participated in the discussions, which also saw the presence of Deputy Governors M. Rajeshwar Rao, T. Rabi Sankar, and Swaminathan J, along with executive directors overseeing regulation and supervision.
RBI-banks partnership
Governor Malhotra emphasised the need for a closer partnership between the RBI and banks, especially in enhancing the ease of doing business. He sought suggestions from bankers on improving operational efficiency and tackling emerging challenges.
Malhotra also underscored the importance of investing in technology while ensuring strict oversight of third-party service providers to minimise cyber risks. “Banks must remain agile and proactive in their approach to safeguarding customer interests and maintaining systemic stability,” the RBI noted in its release.
The meeting signals the central bank’s commitment to addressing key industry challenges while reinforcing its focus on financial stability, inclusion, and resilience in an evolving digital landscape.
