FM Sitharaman Asks Banks to Ensure “Uninterrupted Services” Amid India-Pak Conflict

GG News Bureau
New Delhi, 9th May: Finance Minister Nirmala Sitharaman on Friday chaired a high-level meeting with CEOs of banks and insurance companies to review their operational and cybersecurity preparedness, directing them to ensure uninterrupted services to customers in view of the heightened military conflict between India and Pakistan.

Stressing the critical role of the banking and financial sector in maintaining economic stability during challenging times, the Finance Minister asked banks to remain vigilant and ensure that both physical and digital banking services function without disruption. She directed that emergency protocols should be updated and tested and advised banks to ensure the safety of employees and their families working in border areas.

According to a statement from the finance ministry, Sitharaman directed banks to enhance their safety measures through effective coordination with security agencies. The meeting saw participation from top officials from banks and insurance companies, as well as senior representatives from the Department of Financial Services, CERT-In, RBI, Irdai, and NPCI.

The Finance Minister emphasized that citizens and businesses must not face hardship under any circumstances, prioritizing seamless cash availability at ATMs, uninterrupted UPI and internet banking services, and continued access to essential banking facilities.

Earlier in the day, public sector banks, including State Bank of India and Punjab National Bank, had already confirmed that their ATMs were fully functional and well-stocked, and their digital services were operating smoothly. Sitharaman reiterated the government’s firm commitment to national security and economic stability, highlighting the robustness and resilience of the country’s banking and financial system.

During the review, the Finance Minister was informed by bank Managing Directors and CEOs that cybersecurity measures across the banking system had been reinforced, including the implementation of Anti-DDoS systems to protect against massive cyberattacks. They reported that mock drills covering cybersecurity and disaster recovery scenarios had been held at the highest levels to guarantee institutional readiness. Banks are also actively monitoring phishing attempts and issuing internal alerts to staff for increased awareness.

Bank officials stated that their Security Operations Centres (SOC) and Network Operations Centres are fully operational and on high alert, coordinating closely with CERT-In and the National Critical Information Infrastructure Protection Centre (NCIIPC for real-time data sharing and threat monitoring.

To prepare for any eventuality, Sitharaman directed banks to conduct regular audits of their cybersecurity systems and data centres and ensure that all digital and core-banking infrastructure is fully firewalled and monitored around the clock to prevent breaches or hostile cyber activity.

She instructed banks to designate two dedicated senior officials at the headquarters level: one for reporting all cyber-related matters and the other for overseeing operational matters, including the functioning of bank branches and ATM cash availability. These designated officers are required to report any incidents to CERT-In, relevant agencies, and the Department of Financial Services on a real-time basis. The finance ministry statement added that banks were asked to coordinate in real time with the Reserve Bank of India, CERT-In, and relevant government agencies to ensure robust and agile information exchange and response.

For the insurance sector, the Finance Minister directed companies to ensure timely claim settlements and uninterrupted customer service. She also instructed Sponsor Banks to ensure that Regional Rural Banks (RRBs) receive adequate support and guidance during this period.