Copyright © 2026 Authors retain the copyright of this article. This article is an open access article distributed under the Creative Commons Attribution License which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.

@article{183534,
        author = {K.S.V.G.K Murthy and G Prasanna Kumar},
        title = {Operational Risk in the Digital Banking Era: New Threats and Mitigation Strategies},
        journal = {International Journal of Innovative Research in Technology},
        year = {2025},
        volume = {12},
        number = {3},
        pages = {2092-2097},
        issn = {2349-6002},
        url = {https://ijirt.org/article?manuscript=183534},
        abstract = {The rapid evolution of digital banking has revolutionized financial services, offering convenience, speed, and broader access to customers. This transition has however created a new shade of operational risks that pose a threat to the sustenance of the banking systems and stability. The paper talks deeply about the complexity of operational risk in the digital banking age and how new operational hotspots like cyberattacks, systems breakdown, third-party vulnerability, data breaches, and artificial intelligence misuse are becoming a reality. It looks at how the rising use of cloud computing, mobile apps and fintech partnerships have broadened the risk profile of banks. The paper determines the existence of fundamental gaps in old risk management models using an analysis of current case studies and the shape of regulations. Moreover, it offers effective mitigation plans, such as effective cybersecurity protocols, real-time monitoring, training workers, adherence to new regulatory standards, and the deployment of AI-driven risk detection mechanisms. The research highlights the importance of positive and proactive approach to the risk management at the operational level with digital resilience and confidence in the fast-changing financial universe.},
        keywords = {Risk, Digital Banking, Cybersecurity, Risk Mitigation.},
        month = {August},
        }