PURVIEW

Sets RBI’s fraud-risk management requirements for commercial banks, including governance, accountability, fraud-risk identification, prevention, early warning, monitoring, reporting and institutional response. The Directions therefore provide a regulatory context in which AI-based fraud controls must be governed, validated and embedded within the bank’s broader fraud-management framework rather than treated as autonomous decision tools. For privacy, the framework is important because fraud analytics can process extensive transaction and customer data, making security, access control, audit trails and responsible use of automated detection particularly significant.

Classification and legal status. Binding Directions for commercial banks in scope; effective immediately upon issuance.

RELATED LINKS