CYBERSECURITY NORMS FOR PAYMENT SERVICES
News: The Reserve Bank of India (RBI) will issue norms of cybersecurity for payment service providers (PSPs). RBI has already launched the guidelines for the banks and NBFC.
There was a series of data breaches by payment service providers including Mobikwik and payment aggregator JusPay, a top RBI official said.
Further, there is a domination of two or three players in the fintech-backed retail payments space. This could give rise to competitive weakness in the market, as only two apps provide about 70% of third-party services in the UPI system.
Consumers do not have any control on the entire UPI itself.
National Payments Corporation of India (NPCI) had also laid down a framework for a more even distribution of share of third-party app providers in the UPI system.