Temenos (SIX: TEMN), the software specialist for banking and finance, welcomes Australian Prudential Regulation Authority’s (APRA) proposed revisions to the licensing framework for authorised deposit-taking institutions (ADIs) to make it easier for applicants to navigate the ADI licensing process.
According to Ross Mallace, Head of Cloud Services at Temenos Australia, “We believe that this move from APRA is a great framework for driving innovation and a competitive marketplace, something we have witnessed and support with our global community of clients.
“In Australia, we’re already seeing a groundswell of activity in the startup bank space. In the past, the barriers of time and cost of building the technology to establish a bank meant that the traditional banking model remained largely static. However, with the emergence of Cloud Bank as a Service (BaaS), what we’ve seen overseas is the removal of these technology barriers and an acceleration of competition and innovation with non-traditional banking models coming to market. This, combined with APRA’s proposed revisions, means we would expect to see a very different banking landscape in Australia in the not too distant future and we are excited to be able to support this following our significant and ongoing investment in this market.
“Amongst our broad mix of Australian ADI clients, we can see the competitive playing field is rapidly evolving to the customers’ advantage”, Mallace said.
Temenos Group AG (SIX: TEMN), headquartered in Geneva, is a market leading software provider, partnering with banks and other financial institutions to transform their businesses and stay ahead of a changing marketplace. Over 2,000 firms across the globe, including 41 of the top 50 banks, rely on Temenos to process the daily transactions of more than 500 million banking customers. Temenos customers are proven to be more profitable than their peers: over a seven-year period, they enjoyed on average a 31% higher return on assets, a 36% higher return on equity and an 8.6 percentage point lower cost/income ratio than banks running legacy applications.