The banking sector is the latest to enter the cloud computing system which is greatly gaining popularity. In Kenya, banking institutions are now adopting the system with the aim of giving clients access to high-end services.
SOFGEN, a Swiss firm is on top of offering the cloud service to financial institutions in Kenya. The firm, established in 1999 introduced Temenos T24 Cloud Platform in the Kenyan market .It has provided solutions to banks like Kenya Commercial Bank,K-Rep Bank, Kenya Women Finance Trust and Commercial Bank of Africa.
Their main target is the microfinance institutions, deposit taking microfinance institutions and Saccos.Due to their size, most of them cannot afford high-end core banking systems thus exposing them to fraud. According to Deloitte E.A, banks lost over Sh4 billion to fraud in the 18 months to June with the fraud on the increase.
Most of the microfinance firms in Kenya carry out about 90 per cent economic activities and with the cloud computing, they will be able to afford quality core banking. The system is expected to eliminate the need for heavy investment in core banking systems while giving high-end services to clients.
According to SOFGEN, the Temenos core banking system will charge its services depending on the number of transactions carried out through the platform.