New Zealand’s Kiwibank has partnered with software firm ACI Worldwide as it looks to accelerate its real-time payment (RTP) plans.
Kiwibank’s chief product and strategy officer Elliot Smith
The deal will see ACI provide and manage Kiwibank’s digital payment hub hosted on the Microsoft Azure cloud.
The bank says the Software-as-a-Service (SaaS) payment solution will allow it to roll-out and deliver flexible digital payment offerings faster and more efficiently, rapidly scaling to changing customer demands.
Kiwibank’s chief product and strategy officer Elliot Smith says rapid technological change means consumers now expect “almost everything to be available instantly and the payments system is no exception”.
“This relationship with ACI supports Kiwibank’s long-term strategies for efficiently dealing with future payment needs,” Smith adds.
The announcement comes as New Zealand’s banking and financial sectors continue to digitise.
Industry changes requiring the New Zealand retail payment system to operate seven days a week, 365 days a year are looming. Presently, settlements between banks occur at regular intervals between 9am and midnight on business days only.
“The business benefits of real-time payments are huge, including enhanced cash flow management and improved liquidity. This improvement will be especially impactful to small merchants that may be used to waiting days for their settlement,” Smith adds.
Founded 20 years ago, Kiwibank is the largest of the New Zealand-owned banks and claims more than a million customers.
