StanChart to Move Core Systems to Cloud in 3 Years

Source: Regulation Asia Editors, Regulation Asia 2020-08-13

Core banking and trading systems, and new digital ventures such as virtual banking and banking as-a-service, will be cloud-based by 2025 subject to regulatory approvals.

Standard Chartered Bank and Microsoft have announced a three-year strategic partnership to accelerate the bank’s digital transformation through a cloud-first strategy.

“The partnership marks a significant milestone for Standard Chartered in making its vision for virtual banking, next-generation payments, open banking and banking-as-a-service a reality,” the joint statement reads. “Leveraging Azure as a preferred cloud platform, the companies will also co-innovate in open banking and real-time payments to help the bank unlock new banking experiences for clients.”

Standard Chartered will adopt a multi-cloud approach, where significant applications, including its core banking and trading systems and new digital ventures such as virtual banking and banking as-a-service, will be cloud-based by 2025, subject to regulatory approvals.

The bank will also adopt a cloud-first principle for all new software developments and major enhancements, and adopt Microsoft Azure AI (artificial intelligence) and data analytics capabilities to enhance and automate banking processes, as well as deliver “hyper personalisation” of its client products and experiences.

The first set of capabilities to move to Microsoft Azure will be Standard Chartered’s trade finance systems, to allow for seamless cross-border trade for corporate and institutional clients.

“Cloud is a cornerstone of Standard Chartered’s strategy to meet the present and future banking needs of our clients,” said group chief information officer Michael Gorriz. “Using cloud services improves our ability to be agile and innovative, while increasing our operational efficiency and resilience.”

“As disruption in the financial industry continues, we can focus on client benefits by deploying our solutions quicker and allowing for faster integration of new business models and partners.”

Gorriz has written an article explaining the necessity for cloud adoption by banks, available here.

institutional clients

StanChart to Move Core Systems to Cloud in 3 Years

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