According to a recent press report, Mr. Anand Sinha, Deputy Governor, Reserve Bank of India, at a seminar on ‘Beyond core banking’, organised for the directors of banks by the Institute for Development and Research in Banking Technology (IDRBT) said that it was important for the banks to strengthen Internet technologies to contain hacking and phishing.
Mr Anand Sinha said that banks should deal with the issue of data confidentiality with utmost care in the present technology-driven environment because the rapidly growing interconnectivity of IT systems and convergence of technology would render IT systems increasingly weak to malicious attacks. He added saying that banks have to take a disciplined approach to IT architecture, create standardised platforms and bring more business value from technology investments. Credit cards are a major component of online transactions but even loan are now offered online.
He added saying that the IT investments of banks were sucessful when the technology strategy went along with business strategy. He also said that the implementation has to be in a disciplined way.
Mr B. Sambamurthy, Director, IDRBT, said there was a need for developing information as a separate discipline since IT governance is a relatively new subject, even globally. He also mentioned that it was difficult and critical because IT is now almost all-pervasive in banks.