RBI deputy says tech failures are now top risk for banks
RBI Deputy Governor Rohit Jain told the SBI Banking Conclave that technology has become the primary risk architecture for banks, demanding board-level oversight.
Speaking at the SBI Banking Conclave, RBI Deputy Governor Rohit Jain emphasized that technology is no longer just an enabler but the very risk architecture of banks. He warned that even well-capitalised institutions can be crippled by unavailable systems, cyber incidents or failures of key technology partners, leaving customers unable to access funds. Jain highlighted recent cyber-attacks, banking-channel outages and the 2024 CrowdStrike disruption as proof that technology failures translate into financial risks.
He called for technology risk to be treated as a first-order enterprise risk, on par with balance-sheet concerns, and urged boards to develop deep technical understanding. The scale of India’s digital payments, with one outlet processing 24.9 billion transactions in August 2026, underscores the need for robust resilience. While AI promises gains in fraud detection and customer service, Jain cautioned that without proper governance it could magnify mistakes, stressing the need for validation, monitoring and clear accountability.
Why it matters
Bank customers could lose access to money if tech failures aren't managed as core risks.
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