IBS Journal: The iconic monthly FinTech magazine

February 2020 issue out now! Subscribe now

Launching India FinTech Report 2020

Market sizing and forecast of Digital Lending, Payments, WealthTech & RegTech. Subscribe now

Leading Back Office Systems for Banks

In-depth Supplier Profiles and User Lists. Subscribe now

In-depth Banking Tech and FinTech Research

Over 300 research reports that's updated quarterly. Subscribe now

Bank of Baroda implements supply chain finance solution from iGTB

India-based Bank of Baroda has finalised the implementation of a supply chain finance solution from Intellect Global Transaction Banking (iGTB), a subsidiary of Intellect Design Arena.

According to the vendor, the new solution will enable new financing and working capital opportunities for the bank’s clients. iGTB frames the selection as an important step towards the realisation of Indian prime minister Narendra Modi’s “Digital India” initiative, which calls for 25 billion digital transactions between 2017 and 2018.

The solution “provides a full range of supply chain finance products”, and covers pre- and post-shipment, vendor finance, dealer finance and payable finance. It also features an omni-channel user interface.

See more: Bank of Baroda scrambles after IT glitch charges thousands

“With this latest state-of-art digitized SCF product, we are now live with a few large corporates and many more in the pipeline. With this product we will be augmenting our relationship with large corporate customers and SME clients,” said Litesh Majethia, head of supply chain finance at Bank of Baroda.

Majethia added that the bank has received “positive and encouraging responses” from many of its customers: “This product will empower the Bank and give us competitive positioning in the market, highlighting our intent as a leader in the field of supply chain finance.”

Bank of Baroda is India’s second-largest bank, and has been in the process of migrating its core banking systems to a newer version of Infosys’ Finacle platform. The bank holds around $110 billion in assets under management and nets an operating income of $1.7 billion per year.

Related: Android malware affects more than 200 apps across India

While one of the oldest banks on the Indian subcontinent, Bank of Baroda has merged with no less than ten other lenders across its history. The latest of these include Memon Cooperative Bank Limited (in 2011) and South Gujurat Local Area Bank (in 2004).

Manish Maakan, CEO of iGTB, said of the firm’s latest deal: “Our strong experience in supporting other Indian banks and financial institutions means our supply chain finance offering is the most mature and sophisticated it has ever been. Supply chain finance – when done properly – provides banks with an opportunity to become a valuable partner in their clients’ supply chains and ensures sustained growth and profitability of clients and their business partners.”

Related Posts