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Nigeria Taps Microsoft to Oracle to Recover From Recession

Nigeria is hiring U.S. technology giants such as Oracle Corp. and Microsoft Corp. as the government invests more to save costs and fight corruption.

An initiative led by Redwood, California-based Oracle has enabled Nigerian authorities to remove 50,000 so-called ghost workers, or fake entries, from the payroll, according to a presidency statement June 29. That followed Oracle’s decision to open an office in Abuja, the capital, in May. Other companies interested in taking on more work in Nigeria include IBM Corp. and Sweden’s Ericsson AB, according to Yusuf Kazaure, managing director of state-owned Galaxy Backbone, which provides technology services to the government.

Galaxy Backbone’s budget has increased by 30 percent this year to 4 billion naira ($12.7 million), Kazaure said in a phone interview last month. State funding for the company will probably increase at a similar annual rate for the foreseeable future, he said. Nigeria is investing 50 percent more on information and communications technology infrastructure this year, totaling about 41 billion naira, according to budget data.

“The government’s digitization drive is imperative in cutting out the middle man,” he said in an emailed response to questions June 29. “The existence of middle men has left room for corrupt and illegal practices to thrive in the governance and doing business in Nigeria.” Microsoft sees an opportunity to advise and train users, Adeniji-Adele said.

Nigeria’s ministry of industry, trade and investment is in talks with Microsoft to improve e-services, which ties into the government’s objective to improve its World Bank Ease of Doing Business ranking, Constance Ikokwu, communication adviser to Minister Okey Enelamah, said in an emailed response to questions.

Goldman Sachs to underpin new digital bank with Infosys tech

 

 

Goldman Sachs moves into retail banking with new digital bank, GS Bank. Infosys to provide tech.

Goldman Sachs has recently launched a new digital bank, GS Bank. It accepts deposits from consumers and institutional clients, starting from just $1.

Goldman Sachs is understood to be working with Infosys and its EdgeVerve division on this project, with the vendor’s e-Finacle platform as the underlying tech for GS Bank.

Infosys’ spokesperson provided a “no comment” to Banking Technology.

GS Bank is a New York State-chartered bank. It stems from the Goldman Sachs’ acquisition of the online banking business of General Electric, GE Capital Bank.

The deal was completed in April 2016. GE Capital Bank came with nearly $17 billion of deposits and 140,000 retail customers. The terms of the deal were not disclosed, but a person familiar with the matter was quoted in the press saying that the price was immaterial to Goldman Sachs.

More significantly, this takeover represents Goldman Sachs’ move into the retail banking space – a departure for the bank that has traditionally catered to the high net-worth segment.

Infosys in the US
Infosys is keen to gain a strong foothold in the US banking software market and is known to be bidding for a number of projects at regional and super-regional banks (with assets north of $20 billion).

Amit Dua, vice-president and regional head at Infosys, comments that the US banks want to “break the shackles of legacy outsourcers”.

The vendor already has two customers in the US. These are Discover Financial Services, which has replaced its legacy core banking platform supplied by Fiserv with Finacle; and Eastern Bank, which has ousted FIS’s channel banking platform in favour of e-Finacle.

Last year, Infosys also teamed up with Verizon, to offer the Finacle suite as a Software-as-a-Service (SaaS) model on Verizon Cloud. The offering is aimed at the US community banks and financial institutions.