EBook

API Security for Non-Bank
Indian Payment Companies

APIs are the connective tissue of your payments business-linking apps, merchants, issuers, and processors.

The Reserve Bank of India's Master Directions on Cyber Resilience and Digital Payment Security Controls for non-bank PSOs (July 30, 2024) recognise this reality and explicitly call out API Security across four pillars:

RBI Four Pillars - Authentication & Authorization, Confidentiality, Integrity, Availability & Threat Protection
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Rakuten SixthSense API Security

Mapped to RBI's API Mandate

FeatureFeature
RBI RequirementRBI Requirement
How Rakuten SixthSense does itHow Rakuten SixthSense does it

Authentication &
Authorization

PSOs must establish identity of users and communicating applications (microservices, third party apps) accessing API

  • Observes and validates auth mechanisms from live API traffic for both public and service-to-service calls
  • Auto-detects and flags BOLA/BFLA attempts
  • Monitors usage patterns of static API keys/tokens, identifying potential compromise or misuse

Confidentiality – ensure
message content isn't
read illicitly

PSOs must ensure confidentiality of API message content

  • Automatically identifies and tags sensitive data (PII, PCI, PHI, financial details) within headers & payloads
  • Actively monitors responses/payloads for unauthorised or accidental exposure

Integrity – resources are
reliably transferred

PSOs must ensure integrity of message content during transfer and reliable/accurate transfer of resources (data/transactions)

  • Deep, real time schema conformance on requests/responses;
  • Workflow sequence/state awareness to flag breaches
  • Provides logging & audit trails for forensic/post incident analysis

Availability & Threat
Protection

APIs available for legitimate use; anomalous activities identified & mitigated

  • Continuously baselines API traffic to detect deviations, e.g., unusual spikes → potential DDoS
  • Detects suspicious user behavior, e.g., abnormal data transfer → potential exfiltration)
  • Real-time blocking to inline enforcement points (Ingress Controller, WAF, API Gateway)
  • Adaptive rate limiting based on behaviour/attack pattern

Alignment to
standards/frameworks

PSO shall adhere to relevant standards and globally recognised frameworks on API security

  • Designed to detect OWASP API Security Top 10 vulnerabilities and in line with NIST practices; supports OpenAPI/Swagger, OAuth 2.0, JWT
  • Provides comprehensive logging, audit, and reporting to demonstrate adherence to RBI and regulatory requirements (e.g., PCI-DSS, ISO 27001)
RBI Mandated API Security for Indian Payments - Ebook Preview
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