Tata Consultancy Services(TCS) has partnered with Israel’s Finance Ministry to make technology affordable for small banks in the country, according to a report in The Economic Times.
“In India, we created a core banking platform and have taken it to other markets. Having developed the first one, the Ministry of Finance wanted us to set-up a complete banking service bureau in Israel,” N Ganapathy Subramaniam, Chief Operating Officer at TCS, told the newspaper.
Moneycontrol couldn’t independently verify the report.
Israel-based Bank Yahav began using the TCS BaNCS Universal Banking platform in 2017.
“The Ministry wanted to move beyond the big three or four big banks. They want new banks to come up at affordable technology, so that they can quickly adopt technology that straightaway goes to an open banking concept,” Subramaniam told the newspaper.
Open banking allows banks to share details about transactions with other financial institutions through application programming interfaces (APIs).
The practice of open banking will likely widen the playing field in Israel’s credit sector, which is currently dominated by large banks and financial institutions.
“Banking platforms are significant for TCS. Platforms are the way to go. It gives faster go-to market for IT firms. It can be used by clients with minimum customisation,” the report quoted Urmil Shah, a research analyst with brokerage IDBI Capital, as saying.
TCS in February made its BaNCS platform available on Amazon Web Services. The IT bellwether is not the only Indian company with a presence in Israel. Flipkart too is expanding its presence in Israel after acquiring analytics startup Upstream Commerce in 2018.