GTBank nears upgrade to new banking platform

• Published On: 12 September 2024 at 18:39

Guarantee Trust Bank is nearing completion of its transition to Infosys' new core banking platform, Finacle.

This change represents a significant departure from the bank's previous software, Basis, which was also used by Providus Bank and SunTrust Bank.

The decision to use Finacle was made in September 2023 after top GTBank executives and technology specialists visited India and secured a direct partnership with Infosys, bypassing third-party vendors.

According to a TechCabal report, the change was required due to recurring issues with the previous system, which occasionally caused service disruptions.

GTBank's choice of Finacle is part of a larger strategy to integrate its banking and non-banking subsidiaries, such as wealth management and pensions, onto a single platform. “The bank chose Finacle because it offers modules for its various subsidiaries, making it a comprehensive solution,”TechCabal reported.

Finacle is already used by at least ten Nigerian banks, including some of the largest commercial institutions, demonstrating Infosys' growing influence in Nigeria's financial sector.

Its reputation as a global leader in core banking software is enhanced by its versatility, comprehensive solutions, and high performance in core platform functionality.

GTBank CEO Segun Agbaje personally approved the transition to Finacle, which was first hinted at during the bank's 400 billion capital raise presentation in July 2024. "The technology needs to be more robust, and Finacle is the right software to get us where we need to be," Agbaje told me.

GTBank began the migration process in late 2023, with the goal of minimising disruptions to its vast retail customer base. However, a change of this magnitude entails risks.

Sterling Bank, a Tier 2 Nigerian bank, recently experienced service outages while migrating to a custom-built platform.

As GTBank moves forward with its migration, industry analysts are eager to see how smoothly the process goes and how it affects customer service.

GTBank has not commented on the ongoing upgrade.