In online banking transactions, banks should provide the option to its customers for enabling PKI (public key infrastructure) for its online banking transactions as optional feature for all customers, the RBI report on Enabling PKI in payment system applications said.
PKI enables users of a basically unsecure public network such as the Internet to securely and privately exchange data and money through the use of a public and a private cryptographic key pair.
PKI provides for a digital certificate that can identify an individual or an organisation and directory services that can store and, when necessary, revoke the certificates.
The panel also said customers should be given the option to choose from different methods of authentication for ensuring security of online transactions.
There are various PKI-enabled electronic payments systems introduced by RBI such RTGS, NEFT, CBLO, Forex Clearing, Government Securities Clearing, and Cheque Truncation System (CTS).