ComBank joins RippleNet for blockchain-powered remittances

Commercial Bank Managing Director S. Renganathan and RippleNet Senior Vice President – Global Sales John Mitchell (third and second from left) exchange the agreement in the presence of the Bank’s Chief Operating Officer Sanath Manatunge (third from right) and representatives of the management of the two institutions

The Commercial Bank of Ceylon recently joined RippleNet, a global payments network leveraging Ripple’s Blockchain technology which facilitates both inward and regulator-enabled outward blockchain technology-powered remittances that are virtually instant and extra secure.

Joining RippleNet ensures that remittances are received instantly with an end-to-end tracing and tracking solution, that the process is transparent and tamper-proof, and that remittances of lower denominations are viable due to the lower rates that apply, the Bank said.

Ripple’s technology facilitates a simplified experience for customers by offering a straightforward remittances process with the removal of multiple steps in the regular process.  Blockchain also provides the ability to move money on real time basis, leading to improved productivity.

Additionally, while traditional remittance measures require a third-party that handles the authorisation and release of the payment, blockchain removes the requirement for a middleman. This decentralised structure is one of the primary reasons the remittance process happens faster and costs less. Notably, the Ripple’s technology possesses features that prevent any outsider access to payment data and is equipped with an anti-fraud feature that makes it more difficult for hackers to break into transactions. 

Ripple’s technology connects banks and payment providers, enabling one frictionless experience for sending and receiving money globally.

Commercial Bank is one of the most active players in Sri Lanka in the field of remittances, offering customers a range of options including ‘e-Exchange’, which is the Bank’s own sophisticated real-time online money transfer service, and other popular remittance facilities such as MoneyGram, Ria and Express Money. Ripple’s technology will bring innovation to fundamentals of international remittances since the Bank will apply this service in Sri Lanka and well as to other overseas market where it has a presence.

One of the Bank’s key strengths is its island-wide network of 263 branches, many of which remain open on public, bank and mercantile holidays, and its network of 782 ATMs, which is the largest automated cash dispensing system owned by a single bank in Sri Lanka. Recipients of remittances sent to the Bank enjoy many benefits, such as over 60 holiday banking centres and super market counters, a dedicated customer support call centre for remittances, and SMS alerts facilities once the remittance is received and is ready to be paid out.

The only Sri Lankan bank to be ranked among the world’s top 1,000 banks for eight years consecutively, Commercial Bank has won more than 30 international and local awards in 2016 and 2017 and 20 international awards in the first eight months of 2018.

Commercial Bank’s overseas operations encompass Bangladesh, where the Bank operates 19 outlets; Myanmar, where it has a representative office in Yangon and a microfinance company in Nay Pyi Taw; the Maldives, where the Bank has a fully-fledged Tier I Bank with a majority stake; and Italy, where the Bank operates its own money transfer service.