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HDFC Bank on Thursday said network outages that led to a regulatory ban on new mastercard sales weren’t thanks to transaction volumes, and affirmed that it continues to remain in-tuned with the RBI for restarting the services but giving a timeline for it’ll be difficult.
The bank said it’s on its thanks to creating a replacement technology architecture for the longer term as a part of the ”digital factory” and ”enterprise factory” initiative. But, it conceded that outages will continue under the older system though it’ll be working to minimise the time taken to bring the service back.
In December 2020, the RBI took the unprecedented step of stopping the most important private sector lender from selling any new credit cards and also launching new digital services, due to a series of network outages.
The outages, however, continued even after the action, last of which was witnessed on Tuesday when the mobile banking app stopped working for 90 minutes.
In a specially arranged interaction to deal with concerns around technology, its Chief Information Officer Ramesh Lakshminarayanan said there are a series of actions, including visit of an external audit team, to assess its capabilities and also submission of the audit report.
”We are awaiting further directions from the regulator during this matter. We are fully prepared, we’ve shared all of the specified information,” he said.
Jagdishan had said it’s taken the proper lessons from the regulatory interventions. ”The fundamental part where we could probably have done better is resiliency and the way does one recover faster when an outage happens,” he told analysts last month.
Lakshminarayanan on Thursday admitted that HDFC Bank has not been the ”gold standard” company and added that the benchmark which is now being chased is to ascertain happy customers.