Rural Banking in PH Seen to Benefit Immensely from Cloud Technology


 

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The world’s technological advances is moving at such veritable speed that rural banks need to keep step.

This was the message underlined at a recent forum held at New World Hotel, Makati participated by rural banks- hosted by Oradian which focused on the topic “The Cloud: Benefits and Challenges in the Banking System”. The whole day forum showcased the expertise and insights of Mr. Melcho Plabasan  of Bangko Sentral ng Pilipinas; Ms. Jovilyn Cotio of Asian Development Bank; Sandy Gilles, Financial and Economic Consultant and Ateneo Economics Professor; Rafael Rivera, Economic Consultant and UA&P Economics Professor; and Robert Reyes, General Manager and Chief Technology Officer of Turfsite Web Services. It also featured a talk from CEO and Founder Antonio Separovic of Oradian, a global company that provides a specially designed cloud banking software for marginalised and excluded financial institutions that are ready to scale up.

Separovic says using the Cloud allows people to use the internet to tap into hardware, software and other services, anytime and anywhere, from powerful computers usually found in remote sites. The combination of big data and computing power under the Cloud will allow rural banks to develop systems capable of providing better advice to clients.

Moreover, the cloud also enables rural banks to respond quickly to the changing market and the evolving needs of customers and technology. It allows for improved efficiency ratio and operating leverage since it makes it easier to integrate new technologies and applications in the future. The cloud also provides clients faster banking transactions as buyers and sellers can share applications using the cloud.

Security concerns are also well-addressed as the cloud is supported by regulation.

Oradian General Manager Jonathan Engalla explained that “Going digital under the financial sector is needed not just to address operational risks, but because of the changing landscape of how people do business which requires growth, efficiency and security. He adds that the only way for rural banks to thrive, just like the big players in the banking industry, is to transition to digital.

Records from Bangko Sentral show that 25% of current bank clients use mobile banking technologies in their transactions and this number is predicted to grow enormously in the next few years.