Banks, RBI Unite to Launch Real-Time Fraud Detection Platform
In a major step to combat the surge in digital payment frauds, Indian banks both public and private are working with the Reserve Bank of India to build a Digital Payment Intelligence Platform (DPIP). Envisioned as a Digital Public Infrastructure, the platform will enable real-time intelligence sharing and advanced fraud detection across the financial ecosystem.
The move comes amid a sharp spike in banking frauds. According to RBI data, the total value of reported frauds jumped nearly threefold to Rs 36,014 crore in FY25, up from Rs 12,230 crore in FY24. Public sector banks were the most affected, accounting for Rs 25,667 crore, compared to Rs 9,254 crore the previous year.
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The DPIP aims to prevent fraud before it occurs by facilitating real-time data collection, analysis, and dissemination across banks. A recent high-level meeting convened senior officials from RBI, leading banks, and fintech stakeholders to finalise the platform’s framework. The Reserve Bank Innovation Hub (RBIH) will prototype the solution, working closely with 5–10 partner banks.
While private sector banks report the highest number of frauds in digital transactions such as cards and online payments, the public sector has suffered major frauds in loans and advances in value terms. DPIP will address both through a unified fraud management architecture.
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The initiative is based on recommendations by a committee chaired by A. P. Hota, former MD & CEO of NPCI, which reviewed the structure and feasibility of such infrastructure. The DPIP is expected to go live within the next few months and will deploy advanced analytics and AI tools to detect and prevent cyber-enabled frauds more efficiently.
Disclaimer: This post is for general informational purposes only. It does not constitute financial advice. Please consult a qualified professional before making financial decisions.
