Mekong Development Bank triples current account base with launch of Vietnam’s first biometric debit card, through TEMENOS T24 Biometrics, at NCR ATMs across Vietnam
GENEVA, Switzerland – 7th August 2012 – Temenos (SIX: TEMN), the market leading provider of banking software, today announces the launch of Vietnam’s first fingerprint-enabled debit card, at Mekong Development Bank. The bank has implemented Temenos T24 Biometric fingerprint authentication to provide the ‘unbanked’ population of Vietnam with access to banking services. Mekong Development Bank is already running the bank on T24, this was a simple modular upgrade to incorporate biometrics into the system seamlessly.
Biometric authentication lowers the risk of fraudulent transactions, whilst providing a more convenient banking service for both the rural and urban populations of Vietnam – of a population of 86 million people, only 20% of Vietnam has a bank account. Since the initial launch in June, Mekong Development Bank’s current account base has tripled, and the deposit balance per debit card account is two times higher than a regular account without a debit card. Customer fingerprints will be captured by Mekong Development Bank at the point of opening an account – and then used at any one of 33 NCR SelfServ™ ATMs across Vietnam. This will be extended to other touch points in the near future in line with Mekong Development Bank’s proposition to make things simple for the customer.
Nicholas Chee, deputy CEO and head of consumer business, Mekong Development Bank says: “Being the first bank in Vietnam to bring biometric fingerprint authentication to its customers confirms Mekong Development Bank’s commitment to providing the only truly convenient and personal banking experience available in the region. Temenos delivered us a state of the art capability in less than six months, which simply plugs into Temenos T24 – our existing core banking system. Incorporating the technology at NCR SelfServ™ ATMs across Vietnam ensures that customers experience consistent biometric fingerprint capabilities throughout the country. Preliminary research shows that an overwhelming 91 percent of customers surveyed after activating their debit card would recommend that their family and friends sign up for the product.”
Lee Volante, director business solution group for APAC, Temenos says: “For decades, banks worldwide have used biometrics for security and access control – to access vaults, etc. But this technology is only starting to permeate the consumer experience on a mass scale in developing countries, where it has commercial value as a means to customer acquisition. Mekong Development Bank is a true pioneer in its adoption of this technology, which will help the bank to continue to build market share with its easy-to-use and convenient consumer technology. We’re delighted that T24 Biometrics is enabling this new banking paradigm in Vietnam.”
Mike van der Wal, managing director of NCR in Southeast Asia, comments: “More than half the world’s population – concentrated in developing markets such as Vietnam – does not access formal banking services. Mekong Development Bank’s biometric NCR ATMs, which identify consumers by their fingerprint in place of a personal identification number, represent a major step forward in bringing banking services to the entire population of Vietnam. Mekong Development Bank’s customers can now enjoy convenient access with increased security.”
Founded in 1992, Mekong Development Bank re-launched in 2009 under a new dynamic, modern, professional and convenient brand. Pivotal to this ethos is biometric authentication, which will revolutionise the way banking is undertaken in the country and grow Mekong Development Bank’s market share.
Volante, Temenos continues: “Mekong Development Bank’s experimental nature in the field of biometrics is something for other banks to sit up and pay attention to. With such innovative technology available, the opportunities for banks to capture market share are enormous, and the future of biometrics across multiple channels such as mobile and online banking is now a possibility.”
Temenos is one of the only core banking systems with integrated biometric capability. It is a component of the T24 system, which has a larger installed base than any other banking software provider. T24 Biometrics is in use at financial institutions across Africa, with Mekong Development Bank being its first Asian customer to adopt biometric authentication.
About Mekong Development Bank
Mekong Development Bank started out as My Xuyen Joint Stock Commercial Bank (MX Bank), established on October 12, 1992. On September 16, 2008, MX Bank was approved by the State Bank to change its model to an urban-centric bank, enabling it to expand nationwide. The Bank remained focused on credit investment in the agriculture sector and rural areas, given its proven expertise over 15 years in operation. On November 13, 2009, MX Bank was officially renamed Mekong Development Joint Stock Commercial Bank (MDB) and rapidly expanded operations across the country. On December 9, 2010, MDB became one of the few banks to successfully increase its charter capital to VND 3,000 billion with the investment from Fullerton Financial Holdings Pte., an investment group owned by Temasek Holdings Pte., a strong financial group belonging to the Singapore government. Today, MDB has a chartered capital of VND3,750 billion and stands among the top 20 banks in Vietnam. It’s network includes 48 branch and outlets across the country with a shared ATM network of over 20,000 under the Smartlink network in Vietnam. Staff strength has increased from 500 in 2010 to over 1,200 in 2012.
NCR Corporation (NYSE: NCR) is a global technology company leading how the world connects, interacts and transacts with business. NCR’s assisted- and self-service solutions and comprehensive support services address the needs of retail, financial, travel, hospitality, entertainment, gaming, public sector, telecom carrier and equipment organizations in more than 100 countries. NCR (www.ncr.com) is headquartered in Duluth, Georgia.
Founded in 1993 and listed on the Swiss Stock Exchange (SIX: TEMN), Temenos Group AG is the market leading provider of banking software systems to retail, corporate, universal, private, Islamic and microfinance & community banks. Headquartered in Geneva with more than 60 offices worldwide, Temenos serves over 1,500 customers in more than 125 countries across the world. Temenos’ software products provide advanced technology and rich functionality, incorporating best practice processes that leverage Temenos’ experience in over 700 implementations around the globe. Temenos customers are proven to be more profitable than their peers: data from The Banker – top 1000 banks shows that Temenos’ customers enjoy a 54% higher return on assets, a 62% higher return on capital and a cost/income ratio that is 7.2 points lower than non-Temenos customers. For more information please visit www.temenos.com.
Other Temenos contacts:
Head of Communications
Tel: +44 (0) 207 423 3751
Hotwire for Temenos
Tel: +44 (0) 207 608 8364