# RBI, SBI warn AI cyber threats outpace bank defences

2026-08-12T17:17:49+00:00 | Business & Economy | Indian Opinion Desk

Corroboration: 2 independent outlets

RBI Governor Sanjay Malhotra on Tuesday flagged growing geopolitical and trade uncertainties and cyber threats as the two key risks facing Indian banks and the economy. Speaking at FIBAC 2026, he said AI is a major opportunity but warned of seven risks including lack of transparency and erosion of human accountability. SBI chairperson C.S. Setty cautioned that fraud can outrun conventional systems as AI use widens. BCG's Hardik Shah said cyberattack costs have fallen 17-fold, urging industry-wide cybersecurity infrastructure. An ASSOCHAM-KPMG report said AI is evolving into a strategic intelligence layer for fintech.

## Coverage

- ciso.economictimes.indiatimes.com <https://ciso.economictimes.indiatimes.com/news/cybercrime-fraud/ai-to-reshape-banking-governance-must-evolve-to-curb-cyber-risk/133168138>
- livemint.com <https://www.livemint.com/technology/ai-evolving-as-core-intelligence-layer-in-indias-fintech-transformation-assocham-kpmg-report-11786419422893.html>
- livemint.com <https://www.livemint.com/industry/banking/rbi-governor-sanjay-malhotra-ai-risks-cyber-threats-banks-11786434273632.html>
- livemint.com <https://www.livemint.com/industry/banking/sbi-chairperson-cs-setty-ai-banking-fraud-cyber-threats-11786434577613.html>

Tags: AI, banking, cybersecurity, digital public infrastructure, fintech, governance
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