AI-Driven Security Revolution: NPCI's Efforts to Boost UPI User Safety

The National Payments Corporation of India (NPCI) is actively incorporating AI to improve digital transaction security, particularly with UPI growth. Partnering with banks, they aim to enhance customer safety. With rapid UPI adoption, focused campaigns, and anti-fraud measures, NPCI seeks to secure digital payments nationwide.

The National Payments Corporation of India (NPCI) is taking significant steps to enhance security in digital transactions by leveraging Artificial Intelligence (AI). The move comes amid a rapid surge in Unified Payments Interface (UPI) usage in India, as reported by NPCI Chief Risk Officer Viswanath Krishnamurthy.

In collaboration with public and private sector banks, NPCI is conducting a pilot study to integrate AI and Machine Learning into its systems to provide greater customer safety. Established in 2008 by the Reserve Bank of India and the Indian Banks Association, NPCI oversees the country's retail payment systems.

Highlighting the need for increased digital payment security, Krishnamurthy pointed out the rising incidence of fraudulent transactions driven by customer 'greed, fear or ignorance.' In response, NPCI is developing warning mechanisms and launching awareness campaigns to ensure safer UPI transactions across the nation. Furthermore, NPCI is expanding its international presence, with UPI becoming available in several countries.

(With inputs from agencies.)