Government, FinTechs, and law enforcement agencies collaborate to enhance cybersecurity and combat fraud, focusing on creating a registry, geotagging transactions, and improving anti-money laundering systems. The discussions also covered digital KYC audits and strategies to combat money mules. This cooperation involves fintech associations and regulators tackling these cybersecurity and fraud challenges.
Financial Services Secretary Vivek Joshi emphasised the need for increased cooperation across government, regulators, and public and private sectors to foster stakeholder confidence and trust in managing cybersecurity and digital financial frauds. This call for enhanced collaboration was made during a half-day workshop that Joshi chaired, which included Law Enforcement Agencies (LEAs), startups, and fintech partners. The workshop saw participation from the heads of about 60 fintech companies, representatives from four fintech associations, 23 state police departments, the CBI, ED, FIU-India, and various central government ministries, departments, and regulators, including the Reserve Bank of India.
In this workshop, Joshi also highlighted the significant role of startups and fintechs in driving India’s economic growth and the necessity to leverage their potential fully. This event occurred shortly after Finance Minister Nirmala Sitharaman held a February meeting with domestic fintech startups, emphasising the importance of compliance with norms and consumer protection. It was agreed that cybercrime-related issues would be addressed under the upcoming Digital India Act.
The fintech sector remains a major part of the Indian startup ecosystem, maintaining robust activity and securing significant funding rounds over the last two years despite a challenging economic climate.
