Financial Fraud Risk Indicator (FRI)

Why in News:
The Financial Fraud Risk Indicator (FRI), operationalised on the Digital Intelligence Platform (DIP), has helped prevent ₹660 crore worth of cyber fraud losses within six months of its rollout on 22 May 2025.

About Financial Fraud Risk Indicator (FRI)

• FRI is a risk-based metric that classifies suspected mobile numbers based on their association with financial fraud as:
  • Medium Risk
  • High Risk
  • Very High Risk
• The classification is generated using multi-source intelligence inputs from:
  • Indian Cybercrime Coordination Centre (I4C) via the National Cybercrime Reporting Portal (NCRP)
  • DoT’s Chakshu platform
  • Intelligence shared by banks, financial institutions
  • Telecom Service Providers (TSPs) and other stakeholders

Digital Intelligence Platform (DIP)

• Developed by: Department of Telecommunications (DoT)
• Purpose: A secure online platform for real-time information sharing related to misuse of telecom resources.
• Stakeholders onboarded:
  • Banks
  • Financial institutions
  • Third-Party Application Providers (TPAPs)
  • Payment System Operators (PSOs)

Current Status & Impact

• Over 1,000 entities (banks, TPAPs, PSOs) have onboarded DIP and are actively adopting FRI.
• ₹660 crore in cyber fraud losses prevented in just six months.
• Capacity building:
  • DoT has conducted 16 knowledge-sharing sessions so far to improve awareness and effective implementation of FRI.

Significance

• Strengthens early warning mechanisms against digital financial frauds.
• Enhances inter-agency coordination between telecom, banking and cybercrime authorities.
• Supports India’s broader push towards secure digital payments and financial inclusion.