The Co-operative Bank of Kenya is embarking on a significant transition to a more secure and efficient platform, aiming to bolster transaction speed while ensuring customer safety. This exciting endeavor, named Finacle, not only seeks to minimize downtime incidents but also addresses the escalating cyber threats faced by Kenya, which has unfortunately become one of the prime targets for cyber attacks on the African continent.
The journey towards this cutting-edge system commenced back in 2019 when the bank initiated the construction of this state-of-the-art platform, investing a substantial $50 million (equivalent to approximately Sh7 billion). Today marks the culmination of their hard work, as they anticipate a seamless migration to the new system by the end of business hours.
In an effort to keep customers well-informed, Co-operative Bank issued a public statement, informing them about the ongoing migration process which commenced on Friday evening and is slated to conclude promptly at 8:30 am today. With enthusiasm and anticipation, the bank proudly declared, “We are thrilled to announce that we are now ready to embark on this transition to our new and improved banking system, ushering in an era of enhanced customer service.”
At the core of every banking institution lies the crucial back-end software known as the core banking system. It is this system that enables banks to effectively manage critical operations, including loan management, withdrawals, deposits, and real-time payments, all while seamlessly connecting multiple branches. With Finacle now in place, Co-operative Bank is primed to execute these essential functions with newfound efficiency and security.
During an investor briefing held in May to discuss the Q1 2023 results, Gideon Muriuki, the Group Managing Director of Co-operative Bank, shared insights into this momentous system migration. He described the new platform as modern, robust, and innovative, poised to propel the bank towards its next phase of growth.
Thanks to a comprehensive digital channel strategy, Co-operative Bank has already managed to transition a staggering 94 percent of customer transactions to alternative delivery channels. These channels include an expanded 24-hour contact center, mobile banking services, 558 ATMs, internet banking, and an extensive network of Co-op Kwa Jirani agents throughout the country. This concerted effort has transformed the bank’s services into a universal banking model, allowing them to cater to the needs of a diverse clientele of nine million account holders spanning across various sectors.
To bring this ambitious project to fruition, Co-operative Bank collaborated with Infosys Limited, a renowned Indian multinational IT company recognized for its expertise in cutting-edge technological solutions. Their joint efforts have now birthed a robust banking system that ensures both security and efficiency for the bank’s operations.
It marks a significant milestone for the Co-operative Bank of Kenya as they embrace the Finacle platform, a secure and efficient banking system. With this transition, they strive to provide even better customer service while safeguarding their customers’ interests in the face of escalating cyber threats. Through their unwavering dedication and collaboration with Infosys Limited, Co-operative Bank is poised to embark on a new era of growth and excellence in the banking industry.