The document summarizes the evolution of INFINET, a nationwide communication backbone for banks and financial institutions in India established by IDRBT. Key points include: - IDRBT established the initial VSAT-based INFINET network in 1999 to provide a reliable network for financial transactions as directed by RBI. - The network has since expanded to include over 300 remote VSAT sites as well as a terrestrial network connecting 21 cities. - The integrated network is managed through a centralized system and provides secure intra-bank and inter-bank applications such as funds transfer, clearing, settlement, and reporting.

2. INFINET - Evolution

3. • RBI formed a committee on 1994 to study
"Technology Up gradation in the Payment Systems".
• Institute for Development & Research in
Banking Technology [IDRBT] established in 1996.
• RBI instructed IDRBT to setup reliable nationwide
communication backbone for the Banks and
Financial Institutions.

4. • IDRBT established the VSAT based INFINET
Network at the IDRBT Campus, Hyderabad.
• A Very Small Aperture Terminal (VSAT) is a
two-way satellite ground station.
• The Network inaugurated on June 19, 1999.

5. • The Hub site is owned, managed and operated
by IDRBT.
• Remote VSATs, installed across the country over
300 locations are owned by respective member banks.
• Terrestrial Network (Leased Line) connecting 21 cities
commissioned and made operational in the year 2001.

6. • The terrestrial network seamlessly integrated with
VSAT Network.
• The entire Network managed through Integrated
Network Management System (UniCentre TNG and
CISCO Works).
• 24 X 7 Network management from two locations
namely at IDRBT, Hyderabad and RBI, Mumbai.

7. INFINET - Architecture

8. THE INFINET VSAT NETWORK

9. INFINET (LEASED LINE) BACKBONE NETWORK

10. Structured Financial Messaging System

11. • Firewall
• Intrusion Detection System (IDS)
• Virtual Private Network (VPN)
• Antivirus Solutions
Network Security Components

12. INFINET - Applications

13.  INTRA BANK
• The transaction taking place within the Bank such as
Funds Transfer, E-Mail, HR, Personnel and Administrator
etc.
• Branches Head Quarter / Regional Office/Zonal
Office / Specialized Branches.
Banking Application

14. • Funds transfer and payment message (Intra-bank).
• Inter Branch Reconciliation (IBR).
• Quick disposal of loan / investment proposal.
• Forex information from branches to the office dealing in Forex.
• Fund information from clearing centers to the fund
management office for optimal allocation of funds.
• Cash Management Product.
• Treasury Management (TM).
• Any Branch Banking.

15.  INTER-BANK
• The transaction taking place between the Banks,
between the Bank and Central Bank (RBI) such as
Clearing and Settlement, Electronic Fund Transfers
(EFTs) etc.
Banking Application

16. • Electronic Funds Transfer (EFT).
• Clearing and settlement systems.
• Exchange of Defaulting Borrowers list among RBI and banks.
• Shared ATMs Network.
• EDI services to the extent they pertain to payment cycle of EDI.
• Currency chest accounting.
• Reporting of government account transactions (Central and
State Governments).
• Reporting of BSR, R-Returns to RBI.
• Asset Liability Management (for reporting to RBI).