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Thursday, 25 July 2013 00:46 - - {{hitsCtrl.values.hits}}
Aiming to achieve cost effectiveness in the national payment system through sharing payment infrastructure, the task of initiating the CCAPS for electronic retail payments in the country was undertaken by LankaClear in November 2010 under a recommendation made by the National Payment Council with the approval of Monetary Board of Sri Lanka.
CCAPS is an integrated payment system of multiple domestic payment networks such as the Common ATM Switch (CAS), Common POS Switch (CPS), Common Electronic Fund Transfer Switch (CEFTS) and Common Mobile Switch (CMobS).
The LankaPay CAS went live with BOC and People’s Bank joining as the first members of the LankaPay CAS, with the first transactions being carried out by CBSL Governor Ajith Nivard Cabraal and Deputy Governor Ananada Silva. Similar transactions were carried out at the same time in ATM machines at Kandy, Batticaloa, Jaffna and Matara.
Noting the latest launch as a ‘revolutionary initiative’ in the local payment industry, LankaClear Chairperson Priyantha Liyanage said: “From speedy cheque clearing to the Sri Lanka Interbank Payment System, we have pioneered secure and efficient payment infrastructure. In everything we do, we work with the ultimate aim of serving the general public and all our stakeholders with the utmost excellence.”
The CAS, however, goes beyond that to serve the general public in bringing convenience and safety when it comes to withdrawing money. Noting that high transaction cost and security concerns prevents the majority from using an ATM of another bank which is not the cardholders’ bank, even at times of great need, the new system eliminates such worries and charges only a minimum amount, she added.
“In the recent past Sri Lanka has shown its pride and unity on many occasions and in many ways. LankaClear embodies this spirit by riding on the spirit of convergence both in culture and technology with what we present to you today.”
Several other financial institutions have already commenced the testing and certification process with LankaClear to join the common switch, she said.
Commending LankaClear on this milestone, CBSL Governor Ajith Nivard Cabraal urged the organisation to work together with commercial banks in the country to connect all bank ATMs through the network. “I urge the LankaClear Board working together with the commercial banks of Sri Lanka to move to that position in the next few months, perhaps before end next year to enjoy a widespread system,” the Governor said. According to LankaClear, there are altogether 3000 ATMs in our country and joining all this would create the single largest ATM network in Sri Lanka.
“This is something we have not been able to achieve since the day banking became internalised and also since the day banking became electronic,” he asserted. “It is a good feeling when giant institutions get together and make it simpler for the people of our country to do transactions. Today the individual ATMs that belong to BOC and People’s Bank will become one unit in order to service the customers of both parties. An important milestones but is only the beginning, in my view.”
Noting that the country has seen new developments in the recent past that have helped customers in the banking sector such as the customers charter introduced with the consensus of the banks which is currently helping all customers obtain better service from banks, Cabraal listed two new goals in the march forward.
The goals mentioned were to ensure that all machines that are today imported to our country and used by locals could service as points of service to all customers in the country, and for banks to have systems which are online and can service customers from around the globe. “Benefits of technology must filter down to all customers of the country as envisioned by Mahinda Chinthana, as well as CBSL and LankaClear.”
BOC Chairman President’s Counsel Rasik Zarook noted that the common electronic switch is a long overdue requirement for the country and expressed delight in partnering with People’s Bank as initial service providers. “There is no doubt our customers will benefit from this switch as they will have a wider access to a network of ATMs around the country which is more conveniently accessible,” Zarrok said.
He also assured that the bank is looking forward for additional service and added value that they would be able to provide customers through the common ATM switch such as the real time fund transfers to accounts in other banks and bill payment facilities which is to be introduced in the near future. People’s Bank Board Director Dr. D.J.D. Jayakody, present on behalf of People’s Bank Chairman Gamini Senarath, noted that the bank has some 500 AMs and close to 750 branch network with a core bank linking and is moving forward with an accelerated pace in order to be on par with technological advancement in the banking sector.
“We are trying our best to beat the small banks such as Sampath Bank, Commercial Bank and HNB as they are sometimes more forward in technical advancements but thinking on the scale of national importance, People’s Bank and BOC are widespread and offer broad-based services.”
Pix by Sameera Wijesinghe
