• SABB has become the latest bank to invest in blockchain-powered technology Ripple
• Bank has already worked on Indian rupee-based cross-border payments using the technology
• “This plan aims to provide customers with a valuable service and link more countries and currencies in the near future”, says senior SABB figure
The Saudi British Bank (SABB) has revealed its plans to make its remittance services easier to use through the use of blockchain.
SABB, which is a consumer-facing bank offering everything from standard accounts to mortgages, will now launch what it calls an Instant Cross-Border Transfer Service fuelled by the blockchain payment service Ripple.
The announcement came during the Financial Sector Conference in the Saudi Arabian capital Riyadh, which took place last week on the 24th and 25th April.
SABB has been a member of Ripple’s network since earlier last year, and there has already been some blockchain-powered online money transfer activity from Saudi Arabia to India during a pilot in December.
This activity was carried out in conjunction with the Saudi Arabian Monetary Authority (SAMA) which is the country’s central bank.
Now, however, SABB will prepare for the technology to be rolled out to more customers.
SABB was set up in its current form in 1978. It is part-owned by HSBC and is officially described as an “associate” of that company.
It has a stated capital of 15 billion Saudi riyals, which is equivalent to nearly 4 billion US dollars or just over 3 billion British pounds.
Ripple, meanwhile, is a settlement system and remittance network with a blockchain-powered protocol. It is known for its fast speeds and its versatility with a variety of currency types.
In a statement, SABB’s Deputy Managing Director Corporate and Institutional Banking said that the moves would “save time and effort” for the company’s customers.
"This step is part of the Bank's ongoing efforts to provide the best banking services to customers, make use of the latest technology and global banking products available, and create methods and means to save time and effort for our customers”, said Majed Najm,
“This is also to maintain our leading position in achieving the ambitions of the Bank's customers whether in the retail or corporate sector, and to support SABB's vision to be the leading global bank in the Kingdom."
He also argued that the blockchain element of the new system meant that it would be “more transparent”, too.
"SABB provides its customers with faster, safer and more transparent cross-border payment services by the launch of “Blockchain” technology through “Ripple””, he said.
“The Indian Rupee (INR) is a positive start to an upcoming roadmap being the first currency to be activated in SABB. This plan aims to provide customers with a valuable service and link more countries and currencies in the near future."
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