PM opens RBI’s data centre and cybersecurity training institute in Bhubaneswar: why banking needs cyber defence
On Sunday the Prime Minister opened the Reserve Bank of India’s ₹169-crore data centre and Cybersecurity Training Institute in Bhubaneswar, warning that a country can be weakened by attacks on its economy, not only by weapons. He called for modern systems and a skilled workforce. For you, this connects CERT-In, RBI data localisation and financial inclusion.
- Event
- Inauguration of RBI data centre and Cybersecurity Training Institute
- Place
- Bhubaneswar, Odisha
- Date
- Sunday, 25 October 2026
- Cost
- ₹169 crore
- Message
- Economies can be weakened by attacks, not only by weapons
- Also present
- Union Finance Minister Nirmala Sitharaman
UPSC has already asked about this. Read the story with these questions in mind.
Cyber security of the banking system: what happened?
Banking has moved onto phones and servers, so a successful attack on a payment system can hurt more people than a branch robbery ever could. The RBI’s new facility combines data storage capacity with training for the people who must defend it.
- The Prime Minister inaugurated the Reserve Bank of India’s ₹169-crore data centre and Cybersecurity Training Institute in Bhubaneswar on Sunday.
- He said “wars today are not fought with weapons alone” and that a country can be weakened by attacks on its economy.
- “We cannot confront these emerging challenges with outdated systems, old training methods and obsolete tools. We need modern infrastructure as well as a skilled workforce,” he said.
- He recalled that banks were nationalised in the 1960s and 1970s, yet until 2014 more than half the population was outside the banking system. He described Odisha’s shift from a mineral-based economy towards micro-chip manufacturing.
Who does what in India’s cyber defence?
| Body | Role |
|---|---|
| CERT-In (MeitY) | National nodal agency for incident response; Section 70B, IT Act 2000 |
| NCIIPC | Protects critical information infrastructure; Section 70A, IT Act 2000 |
| RBI | Regulates banks and payment systems, including their cyber security |
| New RBI institute (Bhubaneswar) | Training in cyber security for the financial sector |
What rules already bind banks?
- IT Act, 2000: Sections 43, 66 (offences), 70A (critical information infrastructure), 70B (CERT-In).
- RBI directive, April 2018: storage of payment system data only in India.
- Digital Personal Data Protection Act, 2023: duties on banks as Data Fiduciaries.
Why does cyber security of the banking system matter?
| Angle | What to note |
|---|---|
| Economic security | Attacks on payments and banks are attacks on the economy. |
| Inclusion | First-time users need safe systems to keep trust. |
| Capacity | Training staff closes the gap between tools and use. |
| Regional growth | Places a national financial-sector facility in Odisha. |
What are the challenges in cyber security of the banking system?
- Shortage of trained cyber security professionals.
- Legacy systems in many banks.
- Fraud through social engineering targets users, not servers.
What should be done next on cyber security of the banking system?
- Regular cyber drills and audits for banks.
- Joint training of bank staff, police and CERT-In.
- Public awareness drives on digital fraud.
What can Prelims ask on cyber security of the banking system?
- CERT-In: Section 70B, IT Act 2000; under MeitY.
- NCIIPC: Section 70A.
- RBI data localisation: April 2018.
- Bank nationalisation: 14 banks (1969), 6 banks (1980).
- PMJDY: August 2014.
How to write about cyber security of the banking system in Mains
Practice question (10 marks, 150 words): “Wars today are not fought with weapons alone.” Examine the cyber threats facing India’s banking sector and the measures needed to address them.
- Intro: PM’s remark at the RBI facility.
- Threats: ransomware, data theft, payment fraud, insider risk.
- Framework: IT Act, CERT-In, RBI directions, DPDP Act.
- Gaps: skills, legacy systems, user awareness.
- Measures: training, audits, drills, awareness.
Ready lines for your answer
- "We cannot confront these emerging challenges with outdated systems, old training methods and obsolete tools. We need modern infrastructure as well as a skilled workforce" (PM at the RBI facility, Bhubaneswar).
- Cyber security in banking rests on three legs: the IT Act and CERT-In, RBI's sector rules such as 2018 data localisation, and trained staff.
Quotable data pointThe RBI's new data centre and Cybersecurity Training Institute in Bhubaneswar cost ₹169 crore.
Exam angle
Prelims: CERT-In, Section 70B IT Act, RBI data localisation, bank nationalisation, PMJDY. · Mains GS-III: cyber security challenges and the financial sector.
Practice MCQs
Original practice questions (not PYQs).
The Indian Computer Emergency Response Team (CERT-In) functions as the national agency for incident response under:
Answer (b) & explanation
Section 70B designates CERT-In; it sits under MeitY.
Consider the following statements:
1. Fourteen major commercial banks were nationalised in July 1969.
2. Six more banks were nationalised in April 1980.
3. Pradhan Mantri Jan Dhan Yojana was launched in August 2014.
How many of the above statements are correct?
Answer (c) & explanation
All three are correct; the PM referred to nationalisation and pre-2014 exclusion in Bhubaneswar.
Questions students ask about this
What did the PM inaugurate?
The RBI's ₹169-crore data centre and Cybersecurity Training Institute in Bhubaneswar.
What is CERT-In?
The national nodal agency for cyber incident response under Section 70B of the IT Act, 2000.
What did the RBI direct in 2018?
That all payment system data be stored only in India.
When were banks nationalised?
Fourteen in July 1969 and six in April 1980.