New Delhi, Aug. 12 -- Cybersecurity is becoming core to financial regulation in India, as the banking and the capital market regulators step up efforts to prepare regulated entities for cyberattacks and fraud.

For the Reserve Bank of India (RBI) and the Securities and Exchange Board of India (Sebi), the focus is increasingly shifting beyond information technology systems and teams to making cyber risk a broader governance and business priority for regulated entities. The two regulators have expanded training and simulation exercises, while preparing for risks linked to newer technologies.

At a Financial Institution Benchmarking and Calibration (Fibac) event on Tuesday, RBI governor Sanjay Malhotra cited two key risks to the Indian econo...