HDFC Bank submits plan of action to RBI, hope to fix outage issue in 3 months
· The country's largest private sector lender HDFC Bank has submitted a detailed plan of action to the RBI to address repeated service disruption issues due to outage and hopes to improve its technology platform in three months. Progress is being made on the plan of action provided to the RBI and the bank has taken this positively as it will raise the standard, according to a senior official of HDFC Bank.
· The action plan will take 10-12 weeks for implementation, and further timeframe will depend on the RBI's inspection. Based on the satisfaction level, the regulator will lift the ban, the official said at an analysts meet.
· Last month, the Reserve Bank of India (RBI) temporarily barred HDFC Bank from launching new digital banking initiatives and issuing new credit cards after taking a serious view of service outages at the lender over the last two years.
· "RBI has issued an order dated December 2, 2020, to HDFC Bank Ltd with regard to certain incidents of outages in the internet banking/ mobile banking/ payment utilities of the bank over the past two years, including the recent outages in the bank's internet banking and payment system on November 21, 2020, due to a power failure in the primary data centre," HDFC Bank had said in a regulatory filing