New Delhi: Infosys Ltd’s subsidiary EdgeVerve Systems on Tuesday said it has carried out a pilot for using blockchain technology for international remittances and trade finance with ICICI Bank and Middle East-based Emirates NBD.
The use of blockchain technology simplifies the process and makes it almost instant—to only a few minutes. This is in contrast to the current process which involves a complex and lengthy paper trail that requires international shipping and courier.
“Both Emirates NBD and ICICI Bank run the Finacle solutions suite have leveraged the blockchain framework to route business transaction between the two entities for remittances and trade finance business,” a statement said.
The network was successfully piloted on the UAE-India remittance corridor, one of the busiest corridors for both banks, it added. According to the World Bank, this corridor is the largest receiver of remittances with a share of close to $70 billion out of the $580 billion world over.
With this, Emirates NBD became the first bank in UAE and ICICI Bank, the first bank in India, to pilot a blockchain-based network for financial services. “The exercise was started eight weeks ago and additional use cases are being explored for the pilot. Both financial institutions have started the process towards a network consortium for further participation by interested member banks to expand the transaction network,” it said.