NSE CEO: AI Hacks Are a Critical Test for Markets

Ashish Kumar Chauhan, MD and CEO of the National Stock Exchange (NSE), has issued a stark warning regarding the growing threat of AI-driven cyber risks and quantum computing to India's financial sector. Speaking at the 16th ANMI International Capital Market Convention in Mumbai, Chauhan emphasized that these advanced technological threats present a critical challenge to market integrity and investor confidence. He cited recent global cyberattacks on major banks and national emergencies in Japan as cautionary tales for Indian intermediaries.

Chauhan called for an immediate, industry-wide collaborative defense mechanism to combat these evolving threats. He specifically urged ANMI to establish a Special Task Force on Cybersecurity, aiming to guide, test, and shield all members against AI-driven hacking over the next one to three years. He also pointed out that quantum computing is on the horizon and will soon challenge current SSL cryptographic standards.

Despite these concerns, Chauhan commended SEBI's regulatory reforms, noting their role in reducing operational friction while ensuring robust market safeguards. He highlighted the significant expansion of India's capital markets, with a listed market capitalization of ₹460 lakh crore, surpassing the banking system's total credit. Investor accounts have crossed 27 crore, with individual investors holding nearly 20% of the listed market value. Chauhan concluded by stressing the vital role of market intermediaries in India's journey towards becoming a developed economy by 2047.