The hackathons will likely be organised round key concepts similar to superior fraud detection mechanisms, behaviour-based consumer authentication and safety monitoring. “These points are the cornerstone of the hackathon sequence. Every financial institution will now put together a person motion plan together with downside statements and the timeline and assemble of those occasions,” a financial institution government mentioned on situation of anonymity.
One other banker mentioned some lenders have already taken such initiatives at their very own stage.
“Financial institution of Baroda held an internet hackathon on generative synthetic intelligence (GenAI) in collaboration with Microsoft. State Financial institution of India has its personal innovation hub, however now, as per the federal government suggestion, this will likely be a collaborative effort,” the manager mentioned, including that banks are additionally seeking to arrange a committee to establish points in these sectors.
The RBI is already working a hackathon on the theme ‘Zero Monetary Frauds’, which features a particular downside assertion on mule accounts to encourage the event of progressive options to comprise the usage of mule accounts.
Final week, monetary providers secretary M Nagaraju held a gathering with banks and the Indian Cyber Crime Coordination Centre to deal with rising threats from digital monetary frauds, particularly mule accounts.
The finance ministry mentioned in a press release that banks had been urged to undertake finest practices, leverage cutting-edge instruments and foster inter-bank collaboration to deal with mule accounts successfully.
“Banks had been directed to undertake superior applied sciences, together with AI/ML options, for real-time detection of mule accounts, coaching & upskilling financial institution employees on fraud detection and prevention, and larger advocacy & consciousness for widespread residents to not fall prey to the fraudsters,” the finance ministry mentioned.