Infosys, India’s second-biggest software services exporter has announced that it has formed a blockchain-based trade finance network in partnership with seven Indian private sector banks. The network will be used in raising security and efficiency in the banking network which is facing severe flak on the backdrop of PNB scam. The network will also be used in broadening the product offering.
The seven private sector banks include ICICI Bank, Yes Bank, Axis Bank, RBL Bank, South India Bank, IndusInd Bank and Kotak Mahindra Bank. The network named as Finacle Trade Connect will allow increased automation and transparency while efficiently handling the risks in trade and supply chain financing operations.
According to Infosys statement, the blockchain based network is designed to digitise trade finance business processes, validation of ownership, certification of documents and facilitating payments.
“The network will create new business opportunities for participating banks, while eliminating the inefficiencies in the existing trade processes and enabling everyone involved in a transaction to have a single source of the truth,” the statement added.
Further included that financing decisions taken using this system are more informed as banks are aware of the exact position of the bill or instruments with its respective partners.
Sanat Rao, Chief Business Officer at Infosys Finacle, said: “Like any innovative technology, the usage of blockchain-based applications will gradually increase from early adopters to others who will join based on proven and tangible benefits.”
“We are committed to helping our clients realise the path-breaking benefits of blockchain technology and we look forward to many more collaborations to strengthen this consortium and building other networks across the world,” he added.
Further, we in Crypto-News India have published an article just after the PNB scam broke out about how Blockchain Technology can be used in preventing such scams.
Liked what you read? Join us on Telegram