Nirmala Sitharaman altered banks, said - 'Be ready to deal with any crisis'

With the growing military tension at the India-Pakistan border, Finance Minister Nirmala Sitharaman conducted a high-level meeting with bank and insurance company chiefs on Friday and requested them to remain alert at all times to offer services to customers without any interruption.

She discussed the operational readiness and cybersecurity of banks and the banking sector during the meeting. She asserted that banking and financial institutions have an essential contribution towards ensuring economic stability when there are crises.

The Finance Minister made it clear that banking services, both physical and virtual, must operate efficiently without any halt and system malfunctions. She also asked all the banks to refresh emergency procedures and conduct exercises to address possible crises.

The Union Finance Minister, Ms. Sitharaman, also requested ensuring the safety of bank staff serving in the border areas and their relatives. Besides this, the banks were requested to enhance the security of their premises through coordination with the security organizations.

Senior officials of the Department of Financial Services (DFS) of the Finance Ministry, Reserve Bank of India (RBI), Indian Computer Emergency Response Team (CERT-In), Insurance Regulatory and Development Authority (IRDAI) and National Payments Corporation of India (NPCI) attended the meeting.

Sitharaman directed that the availability of cash in ATMs, UPI and internet banking services should remain completely smooth so that the citizens and businesses of the country do not face any inconvenience under any circumstances.

Earlier in the day, public sector banks like State Bank of India (SBI) and Punjab National Bank (PNB) reported that their ATMs are fully operational, there is plenty of cash available and digital services are functioning normally.

In the meeting, banks informed that they have strengthened cyber security measures. Anti-DDoS (Distributed Denial-of-Service) systems have been implemented in all banks to avoid any major cyber attack.

In addition, mock drills related to cyber security and disaster recovery have been conducted. Phishing attacks are being monitored and internal alerts have been sent to alert employees.

Bank officials said that their Security Operations Center (SOC) and Network Operations Center (NOC) are fully active and are working in coordination with CERT-In and National Critical Information Infrastructure Protection Center (NCIIPC).

The Finance Minister directed that all banks should regularly audit their cyber security mechanisms and data centers and ensure that their digital and core banking infrastructure is completely secure, equipped with firewalls and under 24x7 monitoring.

Banks were also directed to nominate two senior officials — one for reporting cyber cases and the other for operational tasks, such as operating branches and ensuring the availability of cash in ATMs. Both these officials will report to CERT-In, DFS and concerned agencies in real time.

Regarding the insurance sector, Sitharaman said that customers should get timely service and there should be no delay in claim settlement. She said that sponsor banks should ensure that Regional Rural Banks (RRBs) continue to get all possible assistance.

The Finance Minister reiterated that the government is fully committed to national security and economic stability and the country's banking and financial system remains strong and resilient.