Swaminathan said the banking risk landscape has become more complex with the emergence of cyber, climate and reputational risks alongside traditional credit and market risks.

Cyber fraud rising, tech alone not enough to protect customers, says RBI Deputy Governor Swaminathan J

Reserve Bank of India Warns of Rising Cyber Fraud and Digital Scams

Banks across India are investing heavily in systems to detect suspicious transactions, send alerts, and strengthen authentication in a bid to combat the growing threat of cyber fraud and digital scams.

Speaking at an annual banking event organized by Standard Chartered Bank on November 28, 2025, Reserve Bank of India’s (RBI) deputy Governor Swaminathan J highlighted the need for coordinated efforts to tackle digital frauds, emphasizing that technology alone is not enough to prevent these crimes.

Combating Digital Fraud Requires Collective Efforts

Sharing of fraud typologies is crucial to stay ahead of cyber criminals.
Coordinated actions across banks, fintechs, and law enforcement agencies are essential to tackle digital frauds.
Collaboration and information sharing can help to take down mule accounts and prevent fraud.

Risk Management and Governance Must Be Central to Strategy

RBI's deputy Governor Swaminathan J stressed that the banking risk landscape has become more complex, with the emergence of cyber, climate, and reputational risks alongside traditional credit and market risks.

He emphasized that risk management and governance must now be central to strategy and board oversight, adding that operational resilience would be key to maintaining system-wide stability.

Customer Trust and Digital Inclusion Are Key Priorities

Swaminathan J highlighted that customer trust is shaped most during moments of crisis and not through advertising or legal fine print.

He emphasized that banks and fintechs must combine their respective strengths in trust, innovation, and risk management through sustainable collaboration.

Furthermore, he stressed that digital inclusion is crucial to prevent less tech-savvy users from being excluded, and that technology has improved access and convenience but customers continue to value fairness, transparency, and quick grievance redress.

Responsible Use of Data and IT Service Providers

Swaminathan J cautioned banks on the responsible use of data and rising dependence on third-party IT service providers, emphasizing that operational resilience would be key to maintaining system-wide stability.