Africa’s newest digital bank, Bank Zero, has selected IBM to deliver an open-source based banking platform.
As Bank Zero sets out to provide a fully digital banking experience for customers on their mobile devices, its core banking applications will run on IBM LinuxONE.
Customers will be able to facilitate banking transactions from opening a new account to making payments, without physically going to the bank.
Bank Zero, which was granted a banking license earlier this year, is in the process of launching a new digital bank, based on a mobile app that is in alpha testing now and set to launch in 2019.
Using a mutual banking licence – which mirrors current social media trends and allows for customers to become shareholders – Bank Zero will take advantage of the growing use of smart phones and customers moving to digital services and platforms in South Africa.
In 2017, 30% (16,6-million) of the adult population in South Africa owned smartphones and this is expected to grow.
“Bank Zero is part of the new frontier of banking in South Africa,” says Bank Zero co-founder and chairman Michael Jordaan. “In a digitally connected world, employing cutting-edge technologies and delivering state-of-the-art security is at the core of innovation.
“As we focus on delivering a robust banking value proposition to our customers, collaborating with IBM will ensure that we have a secure, leading platform from which to deliver banking services.”
Bank Zero will pursue customers by addressing their needs in new and distinct ways, and the secure, open-source based platform is designed to handle evolving expectations and rapid increases in mobile transactions. I
BM will ensure that Bank Zero’s infrastructure handles realtime digital interactions as its customers use digital channels for their day-to-day banking activities and interactions with the Bank. In addition, IBM will provide security on the platform ensuring that customer data is secure, whether in rest or in flight.
“Innovation is at the core of Bank Zero’s strategy to reach customers through digital banking in South Africa,” says IBM South Africa country GM Hamilton Ratshefola. “For IBM, this represents an enormous opportunity to power this unique and fresh approach to banking. IBM is uniquely equipped to help Bank Zero with this mission, in a way that is secure, reliable and scaled to grow with Bank Zero as customers adopt their services.”