RBI Introducing Secure '.bank.in' Domain To Tackle Financial Frauds

The Reserve Bank of India (RBI) is implementing measures to strengthen digital banking security, as announced by RBI Governor Sanjay Malhotra during Friday's Monetary Policy presentation. In a bid to combat financial fraud, the RBI will set up an exclusive '.bank.in' domain for Indian banks, scheduled to launch in April 2025, says a report by ANI. 

"The Reserve Bank shall implement the bank.in exclusive Internet domain for Indian banks," Malhotra announced, as quoted by ANI.

The initiative aims to help customers clearly distinguish legitimate banking websites from fraudulent ones. Following this implementation, the RBI plans to introduce a 'fin.in' domain specifically designed for the broader financial sector.

Digital Security Concerns

Governor Malhotra expressed  concern regarding the increase in digital fraud cases. 

"The surge in digital fraud is a matter of concern. It warrants action by all stakeholders. The Reserve Bank has been taking various measures to enhance digital security in the banking and payment system," he added.

The RBI is expanding its security protocols for digital transactions. 

"The introduction of an additional factor of authentication for digital payments is one such measure. It is now proposed to extend this to online international digital payments made to offshore merchants who are enabled for such authentication," Malhotra explained.

Other Initiatives

To enhance market functionality, the RBI has announced several additional measures:

The central bank is expanding its interest rate derivative products, including the introduction of a new forward contract for government securities. This development particularly benefits long-term investors such as insurance funds, enabling more effective derivative pricing and risk management across interest rate cycles.

Furthermore, the RBI is broadening access to the NDS-OM platform, which facilitates secondary market trading of government securities. This expansion will now include SEBI-registered non-bank brokers, aimed at increasing retail participation and deepening the bond market.

Recognising the need to adapt to evolving market conditions, the RBI will establish a working group to conduct a comprehensive review of trading and settlement timings across its five regulated financial markets. This group, comprising various stakeholder representatives, is scheduled to submit its findings by April 30, 2025.