Infosys Finacle gets inducted into IFSCAs Regulatory Sandbox framework

1 Aug 2022 , 12:59 PM

Infosys Finacle, part of EdgeVerve Systems, a wholly-owned subsidiary of Infosys today announced that it has been inducted into International Financial Services Centres Authoritys (IFSCA) Regulatory Sandbox framework to pilot its blockchainbased trade finance solution. In the first phase, six leading banks – Federal Bank, HDFC Bank, HSBC, ICICI Bank, RBL Bank and State Bank of India- are collaborating with Infosys Finacle in the regulatory sandbox. This collaboration will lead to comprehensive testing of the blockchain-based Buyers Credit solution, for short-term credit in foreign currency for import payments and trade finance transactions. This will serve as a precursor to the solution being available as a SaaS-based offering for all banks servicing clients from GIFT City. In its endeavor to support a world-class fintech hub at GIFT City, IFSCA had launched I-Sprint21, a global FinTech Hackathon, as part of InFinity Forum 2021. After multiple rounds of assessment, the Finacle Trade Connect, a blockchain-based solution was selected for the Buyers Credit Optimization category and consequently, granted direct entry into the IFSCAs Regulatory Sandbox. Finacle Trade Connect helps banks, corporates, and various trade partners, such as shipping companies, insurers, and customs agencies, connect directly on a unified distributed network enabling inter organization automation of trade finance processes. Apart from Buyers Credit, the solution offers capabilities across Letter of Credit, Open Account for Trade, Bill Collection, Bill Exchange, C2C Transactions for Trade, B2C Transactions for Trade, PO Financing, Invoice Financing, Bank Guarantee, and Factoring. Starting with Buyers Credit, the Finacle Trade Connect solution will remove friction from the trade finance value chain by connecting various commercial banks, their international banking units at GIFT city, and their business clients on a unified distributed platform. The new platform will speed-up transaction times from weeks to hours and drive significant cost savings. It will also enable trade expansion to drive economic growth. The solution will also enable marketplace capability where customers can request the participating banks international banking units at GIFT city to provide competitive quotes to unlock the best offers. Powered by Capital Market – Live News