Tata Communications today announced its wholly owned subsidiary Tata Communications Banking InfraSolutions Ltd. The compnay claims TCBIL offers Managed Payment Infrastructure as a service to banks.
Mr Rajiv Singh, President TCBIL, quoted “Tata Communications is now expanding its pioneering managed services value proposition to the Indian financial services sector.
Our customers would not need to make upfront investments in channels like ATM, PoS, etc. as we take end to end responsibility of asset ownership, deployment, and maintenance, backed up by our 24*7 operations capabilities. We have assimilated strong capabilities in various banking infrastructure needs and are well positioned to service the growing needs of banks. Banks can focus on their core functions and investments and partner with us for the management of their infrastructure needs.”
TCBIL addresses a fast growing market according to RBI dataATM deployment in the country is growing @ 56% CAGR.
Only 4% of India’s retail establishment accepts card payment, and only a fourth of this is under the outsourced model, thus presenting a large opportunity for a player like TCBIL. On the banking automation front, over 30,000 branches of Cooperative & Regional Rural banks are yet to be covered by core-banking systems. The way forward for the Indian banking industry, in its endeavor to increase the penetration and reach of banking services (to the “unbanked”) is the managed services model, working with specialized players for the deployment and management of core infrastructure, ATMs and other transaction processing end-points.