Federal Bank Announcement: Federal Bank and LuLu Exchange Launch Technology Backed Services for NRIs
Federal Bank and LuLu Exchange Launch Technology Backed Services for NRIs
Chennai, 29th March 2019: Federal Bank has announced the launch of two cutting edge technology remittance variants to their bouquet of facilities enabled through partner exchange houses and banks for making remitt an ce to India. Federal Bank upgraded the initial Blockchain platform for remittances which was launched in De cember 2017 with a sophisticated technology which uses the R3 Corda Blockchain platform developed in part nership with an Indian fintech company M/s Digiledge.
The new easy-to-plug-in platform enables exchange houses and banks in the Middle East to connect their existi ng solutions to make seamless, real-time transactions. The platform offers high level of security due to the distri buted architecture and use of advanced cryptographic algorithms. Lulu Exchange, one of the leading financial servi ces company with more than 180 branches worldwide, has gone live with this upgraded cross border remit tance platform.
The Bank has also launched a platform for Non-Resident Indians to send money through Exchange Houses and Banks using an easy to remember Virtual Payment Address (VPA) of the beneficiary. The platform which rides on the capabilities of UPI 2.0 – the upgrade of the Unified Payment Interface by National Payment Corp oration of India – allows customers to make remittances to India using a virtual payment address (VPA) instead of usual account number and IFSC currently used to send money to India. VPA also provides the advantage of instantly verifying the beneficiary before sending money, thereby avoiding wrong credits and rejections.
In a joint meeting held at the Lulu Exchange Head Office in Abu Dhabi, Mr Adeeb Ahamed, MD of Lulu Exchange and Mr Shyam Srinivasan, MD & CEO of Federal Bank successfully made the first transaction using the new pla tform.
“We are delighted to partner with Federal Bank to roll out the enhanced Blockchain technology and VPA syste m. At LuLu Exchange, we have always embraced innovative technology that gives rise to new products and ser vices that enhances customer experience. We are sure these new integrations will ease process and bring furt her operational efficiency,” said Mr. Adeeb Ahamed, MD, LuLu Exchange.
Federal Bank has also entered into a partnership with Ripple Inc, a Blockchain supported global remittance company, for cross border remittance through its network. This partnership will help Federal Bank to explore new corridors where Ripple is aggressively pursuing new partnerships. In a meeting held today Mr. Shyam Srini vasan, Federal Bank MD & CEO and Mr. John Mitchell, Senior Vice President Ripple Inc, exchanged signed agre ements for the partnership.
Federal Bank, a pioneer in using advanced technology has also launched a new app targeting the NRI community to receive OTPs and alerts for transactions in their accounts with Federal Bank instantly and securely. The app solves the problem of delayed delivery of OTPs and alerts and it is available in both Android and iOS platforms.
“For long Federal Bank has endeavoured to bring our NR Clientele closer to their homes. Each of our digital offe rings has been designed with this objective in mind. We are glad to partner with M/s Lulu exchange and M/s Ripp le, as we know for sure that these partnerships will help us make Banking easier than ever for our NRI clients”, sai d Mr. Shyam Srinivasan, MD & CEO, Federal Bank.
About Federal Bank:
Federal Bank is a leading Private Sector Bank with a branch network of 1,252 branches and 1,696 ATMs spread across the country. The Bank’s total business mix (deposits + advances) stood at Rs 2.03 Lakh Crore as at March 31, 2018 and it has earned a net profit of ₹ 878.85 Crore for FY18. The Capital Adequacy Ratio (CRAR) of the Ba nk, computed as per Basel III guidelines, stood at 14.70%. Federal Bank has its Representative Offices at Dub ai and Abu Dhabi that serve as a nerve centre for NRI customers in the UAE. The Bank also has an IFSC Banking Unit (IBU) in Gujarat International Finance Tec-City (GIFT City).Federal Bank is transforming itself, keeping its pri nciples intact, into an organization that offers services beyond par. It has a well-defined vision for the future as a guidepost to its progress.