Tech Mahindra, an Indian multinational provider of IT services, announced partnership with Prometeia, a provider of risk management consulting and software solutions, to provide Governance, Risk and Compliance services to banks.
The solution will be designed in line with Basel III framework, a set of international banking regulations developed to promote stability in the international financial system.
According to both companies, the partnership also comes as a direct response to the Government of India’s initiative to ensure clean banking. To meet the capital requirements under Basel III, government has done with an investment of Rs 2.6 lakh crore as recapitalization in public sector banks.
The companies think that risk management is not only important from the banks’ compliance and regulatory perspective, but it has direct correlation with the bank’s profitability.
Tech Mahindra will use its capabilities in banking risk management & compliance, business intelligence, analytics, data management and system integration while Prometeia will provide its Asset & Liability Management suite, as well as local industry specialists to help respond to the regulatory challenges impacting banks all over the world.
The partnership benefits both Tech Mahindra and Prometeia because they have complementary, mature experience in Risk and Compliance, ranging from implementation experience for credit risk frameworks and regulatory reporting to liquidity risk, Asset & Liability Management and International Financial Reporting Standards (IFRS) 9 compliance.
The partnership will also help Prometeia to expand its footprint in the whole Enterprise Risk Management space especially in the Middle East and Asia.