• RBI has announced enhanced security for cross-border Card Not Present (CNP) transactions.
  • Additional Factor of Authentication (AFA) will now apply to international digital transactions using Indian-issued cards.
  • This move is in response to rising online fraud risks.

About Additional Factor of Authentication (AFA)

  • A security process requiring more than one method of verification.
  • Previously mandated only for domestic transactions.
  • Common methods: OTP, biometric verification.
  • Has significantly reduced fraud in domestic online payments.

Proposed Changes by RBI

  • Cardholders will undergo additional verification for international transactions.
  • Methods: OTP to registered mobile numbers, biometric checks.
  • RBI will issue a draft circular for stakeholder feedback soon.

RBI Allows Non-Bank Brokers on NDS-OM Platform

  • RBI has allowed non-bank brokers registered with SEBI to access the NDS-OM platform.
  • This move aims to boost retail participation in government securities (G-Secs) trading.
  • Enhances liquidity and accessibility in financial markets 

About the NDS-OM Platform

  • NDS-OM (Negotiated Dealing System-Order Matching) is an electronic trading platform managed by RBI.
  • Facilitates secondary market transactions in government securities.
  • Introduced in August 2005, replacing telephone-based trading.
  • Ensures anonymous bidding, increasing market transparency.