ENSURING CYBER RESILIENCE AND COMPLIANCE IN INDIA’S FINTECH SECTOR: A STUDY ON RBI'S REGULATORY FRAMEWORK

Abstract

The rapid evolution of India’s fintech sector has created unprecedented opportunities for digital financial inclusion, but it has also introduced challenges in security, compliance, and regulation. This paper examines the Reserve Bank of India’s (RBI) comprehensive regulatory framework designed to bolster cyber resilience and enforce compliance within the fintech ecosystem. RBI guidelines, including the Master Directions on Cyber Resilience and Digital Payment Security, the Aadhaar Enabled Payment System, and frameworks for Self-Regulatory Organizations (SROs) and alternative authentication mechanisms, are analyzed. This paper aims to understand how these regulatory measures protect consumers, foster a secure fintech environment, and support the sustainable growth of the sector. The findings contribute to identifying best practices and regulatory needs critical for the robust development of India’s fintech landscape.