The Reserve Bank of India has amended investment rules for urban co-operative banks, enabling them to buy shares in the Indian Digital Payment Intelligence Corporation to join the country’s central digital payment fraud monitoring platform, strengthening fraud detection and risk management.
The Reserve Bank of India has changed investment rules for urban co-operative banks to let them buy equity in the Indian Digital Payment Intelligence Corporation, clearing the way for those lenders to join the country’s central digital payment fraud intelligence platform. The amendment, issued on 2 September, adds IDPIC shares to the list of investments UCBs may make when acquiring membership of eligible organisations.
According to the RBI’s revised directions, the move follows IDPIC’s establishment as a national hub for tracking digital payment fraud. The central bank said the change was needed so urban co-operative banks can formally become members of the platform, which is designed to strengthen fraud monitoring and information sharing across the payments system.
The update comes amid a broader tightening of oversight around co-operative banks’ investment and risk practices. Recent RBI directions have also adjusted rules on concentration risk and unsecured lending, reflecting the regulator’s effort to keep the sector on a tighter supervisory footing while giving it access to shared infrastructure for fraud detection and compliance.
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