RBI lifts Restrictions on HDFC Bank’s Digital Launch

The Reserve Bank of India (RBI) has lifted the restrictions imposed on HDFC Bank in connection with the business generating activities planned under the Digital 2.0 programme.

HDFC Bank said in its exchange filing, “ We would like to inform one and all that the RBI has lifted the restrictions on the business generating activities planned under the Banks’ Digital 2.0 programme.”

The RBI partially lifted the ban in August 2021 by allowing the bank to issue new credit cards but has continued to embargo its digital activities planned under the Digital 2.0 programme. 

In December 2020, RBI ordered HDFC Bank to temporarily suspend all digital deployments and acquisition of new credit cards to customers after facing various outages over the past two years due to technical glitches. RBI actions occur after a bank's customers have faced a series of outages in the bank's Internet banking, mobile banking, and payment services over the past two years.

The bank has also claimed to have utilised this period to draw up short, medium and long term plan to meet the evolving digital requirements of its customers and plans to roll out these initiatives in the days to come.