RBI Confirms Limited Impact Of Microsoft Outage On Indian Banking Sector

The Reserve Bank of India (RBI) has conducted a comprehensive evaluation following a significant global outage affecting Microsoft systems. According to the central bank, approximately ten banks and non-banking financial companies (NBFCs) in India faced minor disruptions due to the outage. These issues have either been resolved or are currently being addressed, the RBI confirmed.

The central bank noted that most critical systems within Indian banks are not cloud-hosted, limiting the impact of the outage. Additionally, only a few institutions have implemented CrowdStrike’s cybersecurity tool. In response to the incident, the RBI issued an advisory to its regulated entities, recommending proactive measures to ensure operational resilience and continuity.

The RBI emphasized that despite the widespread disruption of IT systems globally—affecting various sectors including aviation, media, and financial markets—the Indian financial sector remains largely unaffected by the outage.

The Microsoft disruption had a ripple effect across multiple industries worldwide. In India, airlines such as Akasa, IndiGo, Air India, and SpiceJet faced operational difficulties. Similarly, in the United States, carriers including Frontier Airlines, Allegiant, and SunCountry experienced service interruptions due to the outage.