We are excited to present a new addition to the expanding portfolio of Tietoevry Banking cash management solutions - Virtual Branch.
Responding to market trends
The last few years have revealed a notable shift in corporate strategies, as highlighted by our 2022 Cash Management survey in collaboration with Global Treasurer. Many businesses are adopting a multi-bank approach, driven by geographical considerations as well as by the need to handle both local and global requirements.
The result is an increase in demand for the ability to manage local payments efficiently. Traditionally, corporations needed to maintain local accounts in a particular country in order to access the local payment system for domestic, inward and outward payments. However, this process can be cumbersome, costly, and inefficient from a liquidity management perspective.
Meet Virtual Branch
With that in mind, our Virtual Branch solution offers clear benefits for corporations looking to manage local payments in a more efficient and flexible way. In a nutshell, Virtual Branch fulfils two propositions:
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Access local payment infrastructure. Virtual Branch enables a bank’s corporate customers to access the local payment infrastructure in countries where they don’t have a physical account. |
This new solution leverages the existing capabilities of our Virtual Account Management (VAM) platform, while introducing new business-specific features.
Virtual Branch use cases
Virtual Branch offers the flexibility and efficiency needed to facilitate various use cases:
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Money held in a physical account, or a physical service account, is replicated to the customer’s virtual account. The customer holds a virtual position in the currency, while the physical account or physical service account is owned by the bank. |
A win-win for customers and banks
Both corporate customers and banks stand to benefit. Corporates can gain access to the local payments infrastructure without needing a physical in-country account, reducing the need for physical accounts, and limiting cumbersome KYC processes. They can also take advantage of virtual currencies as a solution for currencies where the bank does not offer physical account.
Banks, meanwhile, can include virtual currencies as part of their service offering, and provide innovative new services with a high level of automation. They may also be able to increase the efficiency of their payment processing by taking advantage of local payment infrastructures.
Last but not least, banks can integrate the Virtual Branch solution seamlessly into our all-in-one platform for cash management solutions.
Facing the future
Our Virtual Branch solution not only empowers corporate customers, but also enables banks to extend their global reach by establishing virtual branches through member banks and partner banks. Bank can also use the solution to address the standardisation challenges presented by different local systems and national formats, paving the way for corporates to centralise their operations in an efficient way.
In conclusion, Virtual Branch is a game-changer when it comes to unlocking global opportunities, providing greater flexibility, and redefining the cash management landscape. As part of the Tietoevry Banking vision, this innovative solution sets the stage for a future where banking transcends national boundaries.
Learn more about the solution:Tietoevry Banking Virtual Branch Solutions and reach out for a meeting or a demo to payments@tietoevry.com!
Torill has extensive banking and finance background with focus towards cash management, payments and trade finance working close to customer and developing solutions for the bank’s customers. In her current position, Torill works with strategy for cash management area and liquidity management solutions and services.