Business Times Issue 103 | SBM Bank | April 24

SBM GROUP

SBM GROUP

SBM BANK PIONEERS A DIGITAL REVOLUTION: TRANSFORMING BANKING FOR A SEAMLESS FUTURE

Project by: Malvern Kandemwa

Words by: Michelle Duncan

SBM Bank is a financial institution headquartered in Mauritius currently the second largest bank in the country with a 25% market share, part of the SBM Group and significantly growing its international presence.

In terms of global operations, SBM Bank has a presence in

several countries, including Seychelles, Madagascar, and India. The bank has also established a representative office in South Africa. The bank’s global operations have enabled it to expand its reach and offer its services to a wider customer base.

SBM Bank has made several acquisitions to expand its reach and offerings. In 2019, the bank acquired the Indian operations of the Royal Bank of Scotland. The acquisition enabled SBM Bank to expand its presence in India and

offer a wider range of services to its customers. In 2020, the bank acquired the African operations of the Bank of China. The acquisition enabled SBM Bank to expand its reach in Africa and offer its services to a wider customer base. SBM Group acquired a majority stake in Kenya’s Fidelity Commercial Bank Limited followed by further acquisition of selected assets and liabilities of Chase Bank (in receivership), which has positioned SBM Bank on the Kenyan market.

In Kenya, SMB Bank has made significant inroads by aligning its services with the evolving financial landscape of the region. The bank’s operations in Kenya have remained marked by a commitment to financial inclusion, providing accessible banking solutions to both urban and rural populations. Through strategic partnerships and a keen understanding of the local market, SBM Bank has been able to navigate the regulatory environment and establish itself as a trusted banking institution in Kenya. By establishing a footprint in these regions, SBM Bank aims to leverage unique opportunities and cater to the diverse financial needs of customers across different geographical locations.

In India, SBM Bank has strategically positioned itself to tap into

one of the world’s fastest-growing economies. By offering a range of banking services tailored to the needs of Indian consumers and businesses, the bank has been able to carve out a notable presence in the country’s financial landscape. With a focus on digital innovation and personalised customer experiences, SMB Bank has been able to resonate with the tech-savvy and rapidly expanding customer base in India. It is also the first foreign bank in the world to have obtained a wholly Owned Subsidiary Licence from the Reserve Bank of India to operate as a fullfledged wholly owned subsidiary on the Indian market.

Furthermore, in Mauritius SBM Bank has capitalised on the island nation’s reputation as an international financial hub. By

offering a comprehensive suite of corporate and private banking services, the institution has catered to the needs of diverse clients, including global businesses, high-net-worth individuals, and offshore investors. SMB Bank’s operations in Mauritius have been characterised by a focus on wealth management, international trade finance, and cross-border investment opportunities.

THE BANK’S OPERATIONS IN KENYA HAVE REMAINED MARKED BY A COMMITMENT TO FINANCIAL INCLUSION, PROVIDING ACCESSIBLE BANKING SOLUTIONS TO BOTH URBAN AND RURAL POPULATIONS.

PARTNER PROFILE:

Nucleus Software was founded with a vision to making financial services access easy and enriching worldwide. Today, we deliver disruptive Fintech solutions to over 200 Financial Institutions across 50 countries facilitating more than 26 million transactions each day, managing over US$500 billion of loans and enabling more than 500,000 users to log in daily. We focus on product innovation to deliver world-class Robust future-proofed fintech products and solutions. Our Flagship Products FinnOne NeoTM and FinnAxiaTM are powered by AI and a sophisticated API ecosystem. Unique Product features based on 3 decades of BFSI domain expertise enable revenue growth, reliability and efficiency for our customers. Our products enable our customers with Proactive product development capability aligned to market dynamics and help digitise the complete lending lifecycle with smarter & faster credit decisions providing for faster compliance with seamless integrations and accurate Risk Tracking to strengthen risk management capabilities of lenders.

Nucleus Software provides leading-edge technology platforms that are continuously upgraded across a Service Oriented Architecture driven by an APICenter comprising 520+ APIs for creating personalised and multiple customer experiences. FarEdge, our AI powered platform, helps our product lines build intelligent solutions to automate, improve user experience and take informed, intelligent decisions. Our technology platforms provide inherent resiliency, are fully scalable & have a secure architecture across Cloud and Onpremise, supported by best-in-class strategic technology partnerships. Nucleus Software Exports Ltd. is a publicly traded software product company with a multicultural global team of 1800 people led by BFSI industry veterans.

Nucleus Software Flagship Products –Powered by AI and a sophisticated API ecosystem

FinnOne NeoTM: Globally acclaimed Robust Digital Lending Platform for Retail, Corporate, Microfinance and Islamic Finance having Specialised Product Capabilities across multiple Lines of Businesses. Supports end-to-end digitization across the lending lifecycle of origination, servicing & collections. Has sophisticated Content and Collateral Management modules with Mobility and Channel Modules that enable Financial Institutions to offer seamless digital lending via agent facing and end customer offerings.

With FinnOne NeoTM  Financial Institutions can accelerate Go-To-Market, Float innovative customercentric products swiftly with easy configurability of business & credit policies. Unparalleled Omni channel experience; helps end customers self-service loans via web, mobile app, WhatsApp, Google home, wearable devices and voice instantly and smoothly enhancing the end user experience.

FinnAxiaTM - is our Global Integrated Transaction Banking Suite, delivering end-to-end solutions that manage Receivables, Payments, Liquidity, Financial Supply Chains and Corporate Trade Optimally. Financial Institutions can Achieve operational excellence by digitising processes enabling total transparency, faster time to market, and Straight Through Processing with the corporate customer front end. Obtain a 360 degree account position view across multiple currencies and jurisdictions to optimise working capital management with FinnAxiaTM

NUCLEUSSOFTWARE.COM

SALES@NUCLEUSSOFTWARE.COM

PaySe TM - Our Financial Inclusion product makes small ticket loans possible and profitable.  PaySe TM is an offline and online digital cash solution with a goal to make financial services easily accessible in remote geographies over a secure and reliable platform. PaySe TM helps Financial Institutions achieve cost optimization by digitising and automating their end-to-end business processes.

DATA MODEL TRANSFORMATION

UPGRADE MOBILE BANKING

Overall, SBM Bank’s global acquisition and operations in India, Kenya, and Mauritius reflect its commitment to embracing diverse markets, understanding local nuances, and delivering tailored financial solutions that align with the unique requirements of each region. Through these strategic endeavours, SMB Bank continues to solidify its position as a prominent player in the global banking landscape.

The Chief Information Officer at SBM Bank Mauritius, Ashwin Ramphul is responsible for overseeing the bank’s digital transformation initiatives. With over

20 years of experience in IT, under his leadership, the bank has been able to leverage technology to improve customer experience, streamline operations, and enhance security. He has been instrumental in the implementation and management of core banking systems and digital solutions for several financial institutions across Africa, Mauritius, and the Indian Ocean. The Bank has undertaken several digital transformation initiatives to improve customer experience, streamline operations, and enhance security. Some of these initiatives include:

Upgrade of the internet banking and SBM’s new mobile banking platform and inner workings of bank itself.

Mobile-based credit cards: SBM Bank India has collaborated with OneCard to extend mobile-based credit cards to its customers.

Data and information model transformation: SBM Offshore’s digital transformation program covers five areas, including transforming the company’s data and information model by streamlining it.

BLOCKCHAIN IMPLEMENTATION

MOBILE-BASED CREDIT CARDS

Blockchain implementation:

SBM and IBM are working together to help organisations implement various technology and business solutions, where blockchain is one of the cornerstones of the transformation process.

A crucial aspect of SBM Bank’s digital transformation has been its embrace of the latest technology developments. Utilising artificial intelligence and machine learning, the bank has enhanced its fraud detection and risk management capabilities, ensuring the security of customer accounts. Moreover, the implementation of chatbots and

virtual assistants has allowed for more efficient customer support, providing clients with instant and personalised assistance.

In addition, SBM Bank’s seamless integration of mobile banking applications has empowered its customers with convenient access to their accounts, enabling transactions, bill payments, and account management on the go. The bank has also tapped into data analytics to gain valuable insights into customer behaviour and preferences, enabling the tailoring of services to better suit individual needs.

The incorporation of blockchain technology has further bolstered SBM Bank’s operations, improved the efficiency of transactions and enhanced security measures. By leveraging blockchain, the bank has been able to expedite cross-border payments, reduce transaction costs, and ensure greater transparency in financial dealings. Furthermore, SBM Bank’s foray into open banking has facilitated the collaboration with third-party financial service providers, fostering a more extensive range of financial products and services for its customer base.

TECHNOLOGY PARTNERSHIPS

SBM Bank has partnered with several technology companies to drive its digital transformation initiatives. One of its key technology partners is Infosys Finacle, Nucleus Software Exports Ltd and IBM. SBM Bank is leveraging Infosys Finacle’s industry-leading technology platform to provide the best possible customer experience in a digital world, as well as improve its operations from within. ‘’We’re present in countries where innovations and digital solutions have really hit the roof. India is a vital market for digital solutions, and Kenya has the highest digital penetration point in the whole of Africa. Our technology partners such as Infosys Finacle and Nucleus Software have tremendous experience in these markets, and we are constantly leveraging their expertise.”

In addition, SBM Bank has collaborated with OneCard to extend mobile-based credit cards to its customers. They also part-

nered with Open Financial Technologies to offer no/low code and API-based embedded finance solutions. Already SBM has launched a plethora of digital solutions and the bank’s digital transformation journey is still ongoing. It has been vital to keep staff onboard with all the new developments and implement proper change management with full ongoing training to all front-end staff.

Moving forward, SBM has a global presence with operations in several countries. The bank has also made several acquisitions to expand its reach and offerings. They will look to synergise its digital solutions across its key markets to grow in a sustainable and successful way. These initiatives have enabled the bank to expand its reach and offer its services to a wider customer base. FIND

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1, Queen Elizabeth II Avenue, Port Louis, Mauritius

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