Page 33 - BANKING FINANCE MARCH 2024

ARTICLE

Chart - 3
Chart - 6
Source RBI

It is evident from the above - presented charts, that UPI -
Unified Payment Interface coupled with mobile banking, is
surging ahead whereas traditional payment and settlement
method of RTGS is showing muted growth in comparison
with UPI / Mobile Banking transactions.

Digital Identity and Security
The digitization of banking services has also highlighted the
importance of digital identity and security measures.
Chart - 4 Ensuring the authenticity of customers during online
Source : NPCI
transactions is crucial to prevent identity theft and financial
fraud.

The Indian government's Aadhaar system has played a
significant role in establishing a unique digital identity for
citizens. However, with increasing digital transactions,
there is a need for robust authentication methods, such as
two-factor authentication and biometrics, to protect
customer accounts from unauthorized access.

Banks are investing in advanced security technologies, such
as biometric authentication and behavioural analytics, to
detect and prevent fraud attempts. Additionally, customer
awareness and education about cybersecurity best
practices have become vital to safeguarding personal and
Chart - 5
financial information.

Furthermore, the fintech sector in India has been booming,
with numerous start-ups disrupting traditional banking
models. Fintech companies are leveraging technologies such
as artificial intelligence (AI), blockchain, and data analytics
to offer innovative financial products and services. They

30 | 2024 | MARCH | BANKING FINANCE