OREANDA-NEWS. December 25, 2008. “Halyk Bank of Kazakhstan” JSC announced the successful productive start-up of Phase 1 of the implementation of “TEMENOS T24™” core banking software (T24), reported the press-centre of Halyk Bank of Kazakhstan.

The Bank’s Head Office has been the site where the project team launched successfully modules for automation of treasury operations. These modules will make it possible to process deals in the financial markets (FOREX, FRA, SWAP, NDF), securities & REPO transactions, interbank loans and deposits. Т24 is integrated into the payment system SWIFT Alliance, which allows all international payments to be routed through Т24.

The project has been implemented in joint team work as provided
- by the dedicated Department for the Implementation of T24 which was set up in order to solve the project challenges,

- by the consultants of "Temenos" vendor company accompanied by the active involvement on the part of external consultants from the Russian group - "AT Consulting".

Great efforts have been put forth to build program interfaces with the running systems, as follows: Colvir (including the data transfer with regard to the Ledger, the financial data transfer relating to money transfers, synchronization of client base), and the SAP BW (warehouse). There has been made the integration with the terminals of KASE exchange system (KASE – Kazakhstan Stock Exchange), Reuters Dealing 3000 and the payment system SWIFT Alliance.

The Bank’s staff were through large-scale training in technologies how to operate T24 in implementation, which provided a professionally prepared team for implementation at an ever early stage of the project.

Dr. Askar Kussainov, Deputy Chairman of the Managment Board: The decision to phase in the banking system Т24 has enabled the Bank within short deadlines to get practical results from the use of the new system. With international practice being embedded in the T24 system, the Bank’s treasury-related operation has increased its efficiency, and the automation grade of treasury back-office operations has increased as well.

Mr. A.Baimagambetov, Director of Department for accounting of banking transactions: Advantages of information system are as follows:

- accounting procedures are processed separately from the settlement procedures accompanied by a high level of their automation;

- automated generation of transactions-related payment instructions in terms of the relevant event (in principle, COLVIR payments have been generated automatically, however, for that end, one has had to carry out 1 or 2 operations which have switched to the stage of authorization of the payment already generated);

- optimization of business process;

- a clearer separation of permissions for the various subunits in the system;

- automation of control for a number of limits.

A positive factor is that the system functioning did not generate any errors over the past half year which could influence the financial performance of business. The completed integration into the SAP BW warehouse makes it possible to generate the regulatory reporting of high quality and timely for the purposes of the National Bank (the central bank).

Key factors of success have been team work as provided by the T24 implementation unit and business units of the Bank. Invaluable contribution to the success of the project has been made by Deputy Chairman of the Management Board Dr. Askar Kussainov and Deputy Chairman of the Managment Board, chief financial officer Ms. Nailia Abdulina – who participated personally in solving all the key issue of the project.

Presently there are being made active efforts to implement Phase 2, they include, in particular, that T24 is supposed to automate the business of the pilot branch in Karaganda city; with that, further replication of the solution over the whole branch network of the Bank.

Bank Management looks forward to an equally positive result from the implementation of Phase 2 of the project in the Karanda city pilot branch.