South African microfinance institution Barko Financial Services has selected Temenos software to replace its legacy systems, in both core and front office, to offer a personalised customer experience
Barko will use Temenos T24 Transact, the next generation in core banking, and Temenos Infinity, the digital banking product.
The implementation will allow Barko to offer financial products aimed at lower-income South African consumers.
The software is expected to reduce the personal loan origination time, targeting re-loan applications to be completed in less than two minutes, and new loan completion in less than seven minutes. The goal is to provide customers, mostly located in rural areas, with a compelling digital experience using mobile devices, thereby eliminating the need to visit a branch.
Kobus de WetCEO, Barko Financial Services, said, “We selected Temenos’ packaged and open banking software to transform our customer experience, offer personalised products and services and drastically lower our total cost of ownership.”
“With Temenos, we will be able to launch capabilities faster, if we get approval to establish a bank, and provide innovative products which are simple to use and tailored to add value to our target customers. We wish to offer lower-income customers a personalised experience that is typically reserved for private clients,” he added.
Barko Financial Services is in the process of applying for a banking license with the ambition to launch a retail bank that will challenge the status quo in South Africa by offering financial products aimed at better meeting the needs of lower-income South African consumers.
The microfinance institution is expected to go live in six months.
Jean-Paul Mergeai, managing director - the Middle East and Africa, Temenos, commented, “Technology is playing a pivotal role in making financial inclusion a viable option for everyone. Barko Financial Services will be best positioned to leverage technology innovation to offer an outstanding customer experience at a reduced cost. We look forward to working with Barko Financial Services as it transforms the services that it offers to its customers.”
