Archive · 10 Dec 2025
SBI MD Criticizes Account Aggregator and UPI
The head of the State Bank of India, Ashwini Kumar Tewari, has expressed concerns about a system called Account Aggregator.
This system lets banks get permission from customers to use their financial data for different services like loans or managing money.
Tewari worries that customers often give this permission without fully understanding what they're agreeing to.
He thinks this could be a problem because privacy is very important, and customers might not realize how their data is being used.
He also warned that if the industry doesn't fix this issue, the government might step in and ban the system.
Additionally, Tewari discussed the need for a 'pause' mechanism in UPI payments to prevent fraud, emphasizing that any changes must come from regulators like the RBI and NPCI.
He also highlighted the extensive use of artificial intelligence in the banking sector for tasks like fraud protection, customer service, and marketing.
SBI MD Ashwini Kumar Tewari criticizes Account Aggregator's single consent mechanism.
Customers often sign up without understanding the details, raising privacy concerns.
Account Aggregator is an RBI-regulated system for sharing financial data between institutions.
Tewari warns of potential regulatory ban if the industry doesn't address the issue.
There are 225 million users on the Account Aggregator platform.
- Who
- Ashwini Kumar Tewari, MD of State Bank of India
- What
- Criticism of Account Aggregator's single consent mechanism and discussion on UPI 'pause' mechanism
- When
- December 10, 2025
- Where
- India
- Why
- Concerns over customer understanding, privacy, and fraud prevention in digital banking
Regulatory Caution
Industry Innovation
Consent Mechanism
Regulatory Caution
Ashwini Kumar Tewari warns that the single consent mechanism in Account Aggregator may lead to privacy issues and potential regulatory bans.
Industry Innovation
The Account Aggregator system aims to streamline financial data sharing and enhance customer service.
UPI 'Pause' Mechanism
Regulatory Caution
Tewari emphasizes that any changes to UPI must come from regulators like RBI and NPCI to ensure system integrity.
Industry Innovation
Industry players suggest a temporary hold on UPI payments to prevent fraud, but no final decisions have been made.
- Entity
- State Bank of India (SBI)
- Spokesperson
- Ashwini Kumar Tewari (MD)
- Mechanism
- Account Aggregator (AA)
- Regulator
- Reserve Bank of India (RBI)
- Users
- 225 million
- Concern
- Single consent for multiple services
- Potential Risk
- Regulatory ban
- Technology Focus
- AI integration in banking
- AI Applications
- Hyper-personalization, fraud protection, cyber security, marketing, chatbots
Sources
State Bank of India MD says Account Aggregator’s single consent mechanism not okay
State Bank MD questions ‘Single Consent’ model in Account Aggregator system, flags major customer risk
SBI MD flags need for regulator-led UPI ‘pause’ mechanism, highlights AI push in banking and fraud control
