BANGALORE, October 18, 2016 /PRNewswire/ --
Emirates NBD is the First in UAE and ICICI Bank is the First
Bank in India to Pilot
Blockchain-based Network for International Remittances and Trade
Finance
EdgeVerve Systems, a wholly owned product subsidiary of Infosys
(NYSE: INFY), Emirates NBD, the leading banking group in
Middle East and ICICI Bank
Limited, India's largest private
sector bank by consolidated assets, today announced the pilot
launch of blockchain network for international remittances and
trade finance. Both, Emirates NBD and ICICI Bank run Finacle
solutions suite and have leveraged the blockchain framework to
route business transaction between the two entities for remittances
and trade finance business.
(Logo:
http://photos.prnewswire.com/prnh/20151104/283829LOGO )
Using the EdgeVerve Blockchain Framework for Financial Services,
the network was successfully piloted on the UAE-India remittance
corridor, one of the busiest corridors for both banks. According to
the World Bank, this corridor is the largest receiver of
remittances with a share of close to 70
Billion USD out of the 580+ Billion USD world over.
With this, Emirates NBD became the first bank in UAE and ICICI
Bank, the first bank in India, to
pilot a blockchain-based network for financial services. The
exercise was started eight weeks ago and additional use cases are
being explored for the pilot. Both financial institutions have
started the process towards a network consortium for further
participation by interested member banks to expand the transaction
network.
Considering its strong presence in the financial industry
through Finacle suite of solutions, Emirates NBD and ICICI Bank
chose to partner with EdgeVerve for the pilot. This framework is a
permissioned asset-agnostic ledger, designed specifically for the
banking sector. Blockchain-based applications built on this
framework, can deliver enhanced automation across
inter-organizational processes, transactional security and accuracy
at a significantly lower cost.
Highlights:
- With the blockchain network in place, both banks expect
automation of inter-bank processes through smart contracts, secure
digital exchange of documents and real-time monitoring of positions
through integrated dashboards. Consequently, this will lead to
significant cost savings for the business
- As part of this pilot, remittances, trade finance purchase
order and invoice financing processes were executed on the
blockchain network. It achieved a near real-time transfer of
invoices and purchase orders in a transparent and secure
manner
- The blockchain network has also been integrated with the
Finacle Universal Banking Suite and other host systems within the
application ecosystem in both banks
- The network model has been designed to be least disruptive to
existing systems and processes in banks. This reduces complexity as
it allows banks to seamlessly plug in their systems and processes
to work with blockchain powered networks
Quotes:
Dr. Vishal Sikka, Chief
Executive Officer & Managing Director,
Infosys
"Blockchain technology offers unprecedented opportunities to
transform banking as we know it. Like any innovative technology,
the usage of blockchain-based applications will gradually increase
from early adopters to others who will join based on proven and
tangible benefits. We are delighted to partner with ICICI Bank and
Emirates NBD, who are innovation leaders in their respective
regions. With this pilot, we are clearly a step closer to see
mainstream adoption of blockchain-based applications. We look
forward to further collaborations with our clients and other banks
to create a blockchain-powered consortium in the financial services
industry."
His Highness Shaikh Ahmed bin Saeed Al Maktoum, Chairman,
Emirates NBD:
"Our pilot project with Infosys Finance and ICICI bank, a first
for the banking sector in the UAE, demonstrates blockchain's
immense potential to change how organizations and governments
conduct business. We look forward to further collaboration with the
public sector and our private peers to further adoption of this
technology in the UAE."
Ms. Chanda Kochhar, Managing
Director & Chief Executive Officer, ICICI
Bank:
"ICICI Bank has a rich legacy of leveraging the latest
technology to bring in new paradigms in banking. Akin to pioneering
new technologies in the country like software robotics, mobility
and near-field communication among others, I am delighted that we
are the first bank in India and
among few globally to set up a blockchain application. We have also
marked a milestone by piloting a blockchain network with Emirates
NBD and Infosys Finacle as partners and have successfully executed
cross-border open account trade finance and remittance
transactions. I envision that the emerging technology of blockchain
will play a significant role in banking in the coming years by
making complex bilateral and multi-lateral banking transactions
seamless, quick and more secure. Going forward, we also intend to
work on expanding the blockchain ecosystem and create common
working standards to contribute to the commercial adoption of this
initiative."
About EdgeVerve Systems Ltd
EdgeVerve Systems, a wholly owned subsidiary of Infosys,
develops innovative software products and offers them on-premise or
as cloud-hosted business platforms. Our products help businesses
develop deeper connections with stakeholders, power continuous
innovation and accelerate growth in the digital world. We power our
clients' growth in rapidly evolving areas like banking, digital
marketing, interactive commerce, distributive trade, credit
servicing, customer service and enterprise buying.
Today EdgeVerve products are used by global corporations across
financial services, insurance, retail and CPG, life sciences,
manufacturing, and telecom. Finacle, our universal banking
solution, is the choice of financial institutions across 84
countries and serves over 547 million customers - nearly 16.5
percent of the world's adult banked population.
To know more, visit http://www.edgeverve.com
Safe Harbor
Certain statements in this press release concerning our future
growth prospects are forward-looking statements regarding our
future business expectations intended to qualify for the 'safe
harbor' under the Private Securities Litigation Reform Act of 1995,
which involve a number of risks and uncertainties that could cause
actual results to differ materially from those in such
forward-looking statements. The risks and uncertainties relating to
these statements include, but are not limited to, risks and
uncertainties regarding fluctuations in earnings, fluctuations in
foreign exchange rates, our ability to manage growth, intense
competition in IT services including those factors which may affect
our cost advantage, wage increases in India, our ability to attract and retain
highly skilled professionals, time and cost overruns on
fixed-price, fixed-time frame contracts, client concentration,
restrictions on immigration, industry segment concentration, our
ability to manage our international operations, reduced demand for
technology in our key focus areas, disruptions in telecommunication
networks or system failures, our ability to successfully complete
and integrate potential acquisitions, liability for damages on our
service contracts, the success of the companies in which Infosys
has made strategic investments, withdrawal or expiration of
governmental fiscal incentives, political instability and regional
conflicts, legal restrictions on raising capital or acquiring
companies outside India, and
unauthorized use of our intellectual property and general economic
conditions affecting our industry. Additional risks that could
affect our future operating results are more fully described in our
United States Securities and Exchange Commission filings including
our Annual Report on Form 20-F for the fiscal year ended
March 31, 2016. These filings are
available at http://www.sec.gov. Infosys may, from time to
time, make additional written and oral forward-looking statements,
including statements contained in the company's filings with the
Securities and Exchange Commission and our reports to shareholders.
In addition, please note that the date of this press release is
October 18, 2016, and any
forward-looking statements contained herein are based on
assumptions that we believe to be reasonable as of this date. The
company does not undertake to update any forward-looking statements
that may be made from time to time by or on behalf of the company
unless it is required by law.