RBI suggests five-pillared approach 'GUARD' to deal with cybersecurity issues in UCBs

The Reserve Bank today came out with a five-pillared strategic approach 'GUARD' to deal with cybersecurity threats being faced by Urban Cooperative Banks (UCBs).

The RBI said in its document 'Technology Vision for Cyber Security for Urban Cooperative Banks 2020-2023' that the number, frequency and impact of cyber incidents and attacks have increased manifold in the recent past, more so in the case of the financial sector, including UCBs.

RBI in a tweet said, "RBI publishes "Technology Vision for Cyber Security' for Urban Co-operative Banks – 2020-2023."

Therefore, it has become essential to enhance the security posture of UCBs to prevent, detect, respond to and recover from cyber-attacks.

According to the central bank, the technology vision document, which was formalised after obtaining inputs from various stakeholders, is aimed at enhancing the cybersecurity posture of UCBs against evolving IT and cyber threat environment. The document envisages to achieve its objective through a five-pillared strategic approach GUARD, viz., - Governance Oversight, Utile Technology Investment, Appropriate Regulation and Supervision, Robust Collaboration and Developing necessary IT, cybersecurity skills set.

In a second tweet, RBI said, "@RBI Kehta Hai… If you lose money through an unauthorised electronic transaction, your liability will be limited, even be zero, if you inform your bank immediately. #rbikehtahai #StaySafe #BeAware #BeSecure"

With concerted efforts and involvement of all stakeholders, the Technology Vision Document for Cyber Security for UCBs, with its 12 specific action points, aspires to

(a) Involve more Board Oversight over Cybersecurity.

(b) Enable UCBs to better manage and secure their IT Assets.

(c) Implement an offsite supervisory mechanism framework for UCBs on cybersecurity-related controls.

(d) Develop a forum for UCBs so that they can share best practices and discuss practical issues and challenges.

(e) Implement a framework for providing awareness/ training for all UCBs.

Observing that the cybersecurity landscape will continue to evolve with wider adoption of digital banking channels, necessitating the UCBs to manage the associated risks effectively, the RBI said that the active collaboration within UCBs and their stakeholders would be necessary for sharing and coordinating various measures taken on cybersecurity aspects.

RBI says, the implementation of the approach outlined in this Technology Vision document will strengthen the cyber resilience of the Urban Co-operative Banks.