Indian Banking System Faces Major Ransomware Attack, NPCI Halts Services
Mumbai – A ransomware attack on C-Edge Technologies, a key provider of banking technology systems, has temporarily disrupted payment systems at nearly 300 small Indian local banks, sources told Reuters. The Reserve Bank of India (RBI) has not yet commented on the situation.
In a public advisory issued late Wednesday, the National Payments Corporation of India (NPCI) announced that it had “temporarily isolated C-Edge Technologies from accessing the retail payments system operated by NPCI.” This move means that customers of banks serviced by C-Edge will be unable to access payment systems during this period.
To prevent wider repercussions, nearly 300 small banks have been cut off from the broader payment network, according to regulatory authority officials. “Most of these are small banks, and only about 0.5% of the country’s payment system volumes would be impacted,” said one source.
India has approximately 1,500 cooperative and regional banks, many of which operate outside major cities. Some of these banks have been affected by the attack. NPCI is currently conducting an audit to ensure the attack does not spread, according to another source.
In recent weeks, the RBI and Indian cyber authorities have issued warnings to banks about potential cyber attacks, according to industry sources.
