Mobile banking regulation requires licensed banks to obtain approval, implement KYC and strong security before offering services.
Only Indian-licensed banks with a physical presence and implemented core banking may offer mobile banking for domestic rupee transactions, subject to prior one-time Reserve Bank approval and board approval. Customer registration requires document-based mandatory physical presence and disclosure of terms. KYC, AML/CFT obligations and STR filing apply. Security mandates include two-factor authentication (for example mPIN with secure storage and end-to-end encryption), application and transport layer encryption, intrusion detection, periodic vulnerability assessments, certified servers and audits. Interoperability, clearing arrangements, transaction limits, complaint redressal and contractual allocation of liabilities are required.

Prevention of Money Laundering amendment to align domestic law with international obligations and strengthen powers over illicit proceeds.
Approval was given for introduction of a Bill to amend the Prevention of Money Laundering Act to enable the Government to meet domestic requirements and international obligations relating to anti money laundering; the original Act provided measures to prevent money laundering and for attachment, seizure and confiscation of proceeds of crime.