Appreciation for Open Source Technologies in Banking Sector
IDRBT (Institute for Development and Research in Banking Technology) is an institute established by Reserve Bank of India.
During the first phase of reforms in the Indian Banking and Financial Sector, a need was felt to develop an Institute of Higher Learning, which would also provide Information Technology support to Banks and Financial Institutions.
The foundation for induction of Information Technology in the Indian Banking and Financial Sector was laid by Dr. Rangarajan Committee's two reports in the years 1984 and 1989, which strongly recommended computerisation of banking operations at various levels.
In the year 1993, the Employees' Unions of Banks signed an agreement with Bank Managements under the auspices of Indian Banks' Association [IBA]. This agreement was a major breakthrough in the introduction of computerised applications and development of communication networks in Banks.
In the following two years, substantial work was done and the top managements realised the urgent need for research and development activities and training in the area of Banking Technology. Banks and Financial Institutions started setting up training centres and colleges focused on technology. In this context, a need was felt for an Apex-level Institute, which would be the Brain Trust for Banking Technology and Spearhead Technology Absorption in the Indian Banking and Financial Sector. In the year 1994, the Reserve Bank of India formed a committee on "Technology Upgradation in the Payment Systems". The committee recommended a variety of payment applications which can be implemented with appropriate technology pgradation and development of a reliable communication network.
The committee also suggested setting up of an Information Technology Institute for the purpose of Research and Development as well as Consultancy in the application of technology to the Banking and Financial Sector of the country.
As recommended by the Committee, the Institute for Development and Research in Banking Technology [IDRBT] was established by the Reserve Bank of India in March 1996 as an Autonomous Centre for Development and Research in Banking Technology.
Apart from the various academic programs, IRBT also have dedicated research center for affordable technologies formerly known as Center for Open Source Technologies.
Affordable Technologies enable banks to realise their vision to serve all people across the nation. Banks in India are exploring opportunities of using affordable technologies in their businesses. The areas that banks could use affordable technologies include Mobile Banking, Business Intelligence/Analytics, Financial Portals (internets and intranets), and Information Systems.
The Institute's Centre for Affordable Technologies (CAT) helps banks to use and explore opportunities of leveraging affordable technologies in their businesses. Under the aegis of affordable technologies, CAT focuses on the adoption of open source technologies, financial inclusion technologies, and emerging internet technologies that can benefit Indian banks.
The Centre helps the banks to understand the Open Source Software (OSS) proposition, what it stands for, what it means, and encourages them to explore using OSS in their own organisations. CAT also serves as a test-bed on which banks can test their applications in open source environment and provide training in OSS. The Centre aims to enable financial inclusion in unbanked areas and enable Indian banks to provide financial services at affordable costs using various ICT technologies.
The Centre also helps banks to use various Internet technologies in their banking products.
The Centre was inaugurated by Dr. Raghuram G. Rajan, Governor, RBI & Visitor, IDRBT on October 23, 2015.
When Rajesh Ekbote, director of Kimaya Infotech knew about IDRBT, he visited IDRBT with his team in person and informed canter coordinators about the product Bank Expert it has developed using 100% open source technologies. Officials from IDRBT were very keen and appreciated the development of Core Banking Solution Kimaya Infotech made out of 100% open source technologies.
They also offered an opportunity for Kimaya Infotech to be a part and member of forum of affordable technologies at IDRBT.
Recently Kimaya Infotech has submitted a write up about its development of Bank Expert a core banking solution which has a potential of making solid impact on banking industry in our country India.
To know how our Bank Expert can help your bank click here.
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