First National Bank (FNB) of Namibia has selected IBM in a deal worth $5-million (about N$39-million) to localise its banking systems and operations.
Under the terms of the agreement, IBM will provide FNB with two of the latest IBM System z 10 Business Class mainframes and supporting software to meet regulatory requirements and support the bank’s growth.
The successful implementation of the IBM system was completed this month and forms part of FNB Namibia’s N$120-million project to localise its core banking systems and operations in Namibia. Previously, FNB Namibia, which is majority owned by FNB South Africa, had its server infrastructure and the data of more than 400 000 customers residing in South Africa.
The project responded to a directive from the central Bank of Namibia to localise all banking infrastructure and IT systems in Namibia before the end of 2009. Working with IBM, FNB Namibia has managed to complete the project, which includes all information technology systems, documents and data relating to customer transactions, the bank’s business affairs, property, assets and liabilities, well in advance of the deadline.
“FNB Namibia’s investment in the latest, industry-leading IBM mainframe systems and software has helped us to build a dynamic core banking platform as well as meet all regulatory requirements,” says Advocate Vekuii Rukoro, group CEO of FNB Namibia Holdings, at a media briefing today. “Importantly, the project to localise Namibia’s banking infrastructure has brought technological advancement, knowledge transfer and created jobs for Namibian professionals.”
Olivr Fortuin, GM of IBM sub-Saharan Africa, adds: “The decision of FNB Namibia to select IBM for its core banking platform demonstrates the strengthening of our long relationship with the bank and its parent company in South Africa. The mainframe solution will help FNB to accommodate growth, ensure cost effectiveness, business continuity and improve services for customers.”
The IBM System z 10 Business Class was launched last year and helps organisations cut energy costs by up to 93%, reduce hardware and simplify data centre requirements.