The government is working with financial regulators to strengthen cybersecurity in the financial sector. The Ministry of Home Affairs (MHA) has established the Indian Cyber Crime Coordination Centre (I4C) to help law enforcement agencies combat cybercrimes. The National Cyber Crime Reporting Portal allows citizens to report cybercrimes, while the Citizen Financial Cyber Fraud Reporting and Management System enables immediate reporting of financial frauds, saving ₹4,386 crore across 13.36 lakh complaints. A suspect registry of cybercriminal identifiers has also been launched in collaboration with banks.
The Reserve Bank of India (RBI) and the National Payments Corporation of India (NPCI) have introduced measures to enhance digital transaction security. RBI’s Master Directions on Digital Payment Security Controls, issued in 2021, set minimum security standards for internet banking, mobile banking, and card payments. NPCI has implemented security measures for UPI transactions, including device binding, two-factor authentication, and fraud monitoring using AI/ML-based models.
To combat online financial fraud, RBI has launched an AI-based tool, ‘MuleHunter,’ to identify money mules and has advised financial institutions to implement it. Banks and regulators are also conducting awareness campaigns through SMS, radio, and other media to educate the public on cybersecurity risks.
Ministry of Finance
Various measures have been taken by the government to strengthen cyber security in the financial sector
Artificial Intelligence (AI) based tool ‘MuleHunter’ for identification of money mule has been launched by RBI
Posted On: 18 MAR 2025 4:55PM by PIB Delhi
The Government has been constantly engaging with the financial sector regulators and other concerned stakeholders to strengthen the cyber security. The Ministry of Home Affairs (MHA) has established the Indian Cyber Crime Coordination Centre (l4C) as an attached office to provide a framework and eco-system for Law Enforcement Agencies (LEAs) to deal with cybercrimes in a comprehensive and coordinated manner. The MHA has also launched the National Cyber Crime Reporting portal(https://cybercrime.gov.in) to enable the public to report all types of cyber crimes. Cyber crime incidents reported on this portal are routed automatically to the respective State/UT LEAs for further handling as per the provisions of law. The ‘Citizen Financial Cyber Fraud Reporting and Management System’ has been launched for immediate reporting of financial frauds and to stop siphoning off fund by the fraudsters. So far, an amount of Rs. 4386 Crore (approx..) has been saved involving 13.36 lakh complaints. Further suspect registry of identifiers of cyber criminals has been launched by MHA in collaboration with Banks/Financial institutions.
In order to reinforce the security of digital transactions, various initiatives have been taken by the Government, Reserve Bank of India (RBI) and National Payments Corporation of India (NPCI) from time to time. RBI has issued Master Directions on Digital Payment Security Controls in February, 2021 to combat web and mobile app threats. These guidelines mandate the banks to implement a common minimum standards of security controls for various payment channels like internet, mobile banking, card payment etc. RBI has also launched an Artificial Intelligence (AI) based tool ‘MuleHunter’ for identification of money mule and advised the banks and financial institutions for its uses.
Similarly, NPCI has also implemented device binding between customer mobile number and the device, two factor authentication through PIN, daily transaction limit, limits and curbs on use cases etc to secure UPI transactions. NPCI also provides a fraud monitoring solution to all the banks to generate alerts and decline transactions by using AI/ML based models. RBI and Banks have also been taking up awareness campaigns through short SMS, radio campaign, publicity on prevention of ‘cyber-crime’ etc.
This information was given by Minister of State For Finance Shri Pankaj Chaudhary in a written reply to a question in Rajya Sabha today.
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