Co-op Bank migrates to Sh7bn Finacle system

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Co-operative bank along Moi Avenue in Nairobi on January 25, 2023. PHOTO | LUCY WANJIRU | NMG

Co-operative Bank of Kenya will between Friday, June 9 and Monday, June 12, migrate its services to a new $50 million (Sh6.95 billion) platform that promises enhanced safety and higher transaction speeds.

The system, dubbed Finacle, has been in the works for the past four years and will allow Co-op to improve its banking system, enhance customer experience, cut downtime incidents and enhance transaction security.

Read: Co-op Bank raises Sh12.6bn for lending, capital

Core banking system is a back-end software that lenders use to manage their most critical processes such as connecting multiple branches to deliver operations such as loan management, withdrawals, deposits and payments real-time.

The new system was built by Infosys Limited—an Indian multinational IT company.

Co-op Bank told customers the migration that will take place between Friday, June 9 from 6:00pm and Monday, June 12 at 8.30am.

“We are pleased to announce that we are now ready to transition to our new and improved banking system, which will allow us to provide even better customer service,” said Co-op in a notice.

The lender will on Friday close its 184 branches at 3:00pm on Friday and remain closed all day Saturday for the transition.

Customers will, however, continue accessing core services such as ATMs, M-Co-op cash mobile banking, Co-op Kwa Jirani agent banking and credit and debit transactions in various locations where cards are normally used.

Read: 400000 farmers join Co-op Bank's online marketplace

Co-op Bank managing director Gideon Muriuki said in the latest annual report the lender was undertaking a “new, modern and robust” core banking system change that will propel it to the “next growth frontier.”

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