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HSBC Bank completes live customer transactions on the National Automated Clearing House (NACH) debit platform.
Vodafone India, one of India’s telecommunications service providers and two asset management companies, HSBC Asset Management Company and Reliance Capital Asset Management (RCAM), are the first customers to use this new infrastructure.
India’s NACH system is an initiative by the National Payments Corporation India (NPCI). It is a new payments system which incorporates functionality from existing systems around the world. With the NACH system in place, which is a significant upgrade on legacy platforms, customers can benefit from faster transaction settlement, wider coverage and superior mandate management system, resulting in greater efficiency and wider branch coverage across India – bringing a large area onto one, consistent and highly advanced system.
Navin Gupta, head of payments and cash management, HSBC India said, “These developments enable companies in India to maximise their operating efficiency and adopt liquidity management structures that are in line with international practices – and that many global organisations expect. The system allows global banks, like HSBC, help companies looking to do business in India to manage their cash effectively and in line with a broader global cash management strategy. This system marks a shift in India’s cash management capabilities, as the country now has a payments system that makes it profoundly easier for businesses to compete.”
