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Managing Risks in Internet Banking

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Managing Risks in Internet Banking

Authored by Aijaz Ahmed Shaikh in Pakistan & Gulf Economist, December 5-11, 2011. Banking in Pakistan & risks associated with it.

Published

Internet

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Managing Risks in Internet Banking

Internet

fast becoming a full fledge delivery and distribution channel. offering divided into three main cateegories:
i. ii. iii.

Internet

Informational Communicative Transactional

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Managing Risks in Internet Banking

Different

retail transactions can be performed. Banks in Pakistan offering Internet Banking according to Payment Systems Quarterly Review published by SBP. growth since few years.

22

Tremendous
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Managing Risks in Internet Banking

Internet

Banking: No new risks

Types
i. ii. iii. iv.

of Risks:

Transaction Risk Reputation Risk Information Security Risk Compliance Risk

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Managing Risks in Internet Banking

Risks

need to be addressed in a timely and professional manner. Systems and Electronic Funds Transfer Act 2007 provides solid base for development and safety of payments.

Payment

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Managing Risks in Internet Banking

Consumer

interests need to be safeguarded. standards exist eg PCI-

International

DSS (Payment Card Industry-Data Security Standard)

12

requirements defined at different levels. 4/8/12

Managing Risks in Internet Banking

Pakistan

Banks Association has constituted a technical committee on PCI-DSS and its implementation. senior & strategic management is advised to oversee and guide their respective firms.

The

Draft

policies and audit transactions to minimize risks. 4/8/12