In the realm of banking, information technology has had a significant influence. Internet banking, sometimes known as e-banking, is an electronic payment framework that enables clients of a financial organization, such as a retail bank, virtual bank, credit association, or building society, to direct monetary exchanges on a site run by the organization.
The banking industry has evolved dramatically since the Internet’s advent, particularly in terms of security, because money is now in our hands with a simple click. The user has a variety of options for managing his money through various approaches. In the financial industry, internet banking has shown to be an excellent and beneficial means of banking. Most banks have quickly adopted this innovation in order to save costs and expand client relationships.
As the supervisor and regulator of the banking industry and payment systems, the State Bank of Pakistan (SBP) has long been aware of the growing threat of cyber crime security risk and is always working in close collaboration with to maintain cyber readiness, coordination with banks is required. In this context, the SBP has published the Risk Framework.
Financial Management in Outsourcing Arrangements Institutions that handle the threat posed by reliance on third-party service providers by banks. The SBP includes a complete set of prevention instructions. Banks are expected to protect themselves from cyber-attacks to improve their cyber security controls on a regular basis, in order to anticipate, methods and procedures, cyber attacks must be able to withstand, identify, and respond to. For the purpose of banks must develop cyber security safeguards for this reason as a necessary component.
SBP has released Regulations for Payment Card Security to assist card service providers (CSPs) in developing payment cards that are safe in the country. A card security framework based on worldwide best practices. All cards must be issued in accordance with the regulations adherence to the Europay, Mastercard, and Visa standards, (EMV) standard.
Consumers are protected from scams such as skimming. To safeguard the growing number of internet users SBP has released Regulations for the Security of Banking Channels. Banks must establish a web-based banking system as part of the Internet Banking Act, which mandates that they do so security framework for internet banking in its entirety. The regulations place a premium on customer awareness as part of the preventive controls; banks are informed about identity theft and fraud schemes.
Role of State Bank towards cyber security issues in line with digital banking
