On May 13, BNG CB updated guidance on core banking solutions.
BNG CB issued updated Guidelines on core banking solution (CBS) features and controls (Version 2.0); a uniform set of instructions, minimum requirements for CBS.
Adapts to the evolving technology-driven environment; Cir No 8 of 2016 is repealed.
Follows BNG CB Nov. 2023 circular regarding core business solution, see #191775.
Guidelines
Guides commercial banks in maintaining minimum required features, controls in their CBS and other related banking solutions, to comply with stakeholders’ requirements.
The core banking operations involve managing transactions, payments, loans, etc,.
It facilitates online banking, automated teller machines (ATMs), telebanking, and immediate or remote fund transfers through mechanisms like immediate payment service (IMPS), electronic fund transfer (EFT), and real-time gross settlement (RTGS).
Application programming interfaces (APIs) are becoming more common in core banking systems to facilitate easy integration with third-party services.
As the banking industry continues to evolve, these systems are increasingly adopting innovative technologies like artificial intelligence (AI), cloud computing, blockchain.
Paving the way for more advanced, secure, and customer-centric banking services.
However, choosing and implementing a CBS is a significant undertaking.
Requires a thorough understanding of organization’s needs, comprehensive evaluation of potential solutions, careful planning and management of implementation process.
The guideline outlines basic objectives for navigating this landscape.
Effectiveness
Guidelines effective immediately; full compliance must be ensured by Jun. 30, 2025.
In Jul. 2024, BNG CB announced intermission in IFIC bank operations, see #219477.
