Last Updated on March 30, 2026 12:18 pm by INDIAN AWAAZ
Staff Reporter / New Delhi
Union Finance Minister Nirmala Sitharaman has said that the banks in the country operate under a strict legal and regulatory framework to ensure the safety and confidentiality of customers’ data. The Minister was replying to supplementaries during Question Hour in the Lok Sabha today. Ms Sitharaman said, under the Know Your Customer (KYC) framework and guidelines issued by the Reserve Bank of India, banks are required to maintain the secrecy of customer information.
She informed that there are five different acts and banks have to comply with these laws. This includes the State Bank of India Act, the Banking Companies Act, the Regional Rural Banks Act, the Credit Information and Companies Act, and the Public Financial Institutions Act. The Minister said that the data is collected only on a need-to-know basis and shared with the authorities when required. Ms Sitharaman said, in cases of fraud or unauthorised data sharing, complaints can be made to the RBI or relevant authorities, which take necessary action upon receiving such complaints.