Deputy General Manager (Products and Banking Development) of Bank of Ceylon, Y.A. Jayathilaka, shares how the bank, Sri Lanka’s largest, is making banking services more accessible and efficient, and helping to transform the Sri Lankan banking sector through digital innovation.
With a legacy built over 84 years, how has BOC been able to drive its digital transformation?
BOC has built trust across three generations of Sri Lankans, representing all age groups nationwide. We have continuously evolved our digital banking services to match global financial technology advancements, catering to our customers’ diverse needs. As pioneers in introducing modern technology to the Sri Lankan banking sector, we introduced ATM cards and the first VISA credit card in Sri Lanka in 1989. We have introduced services like Smart Online Banking, ‘B’App, Smart Pay, Smart Passbook, WhatsApp Banking, e-statements, and Apply Online facility for savings accounts, Investment Accounts (Flexi Investor), Personal and Home loans and Credit Cards.
We’ve also rolled out Point of Sales Machines (POS), Internet Payment Gateway (IPG), Payment Aggregator (Pieze.lk), and a QR-based Payment Merchant app for sales transactions. To extend the financial technology to rural areas, we introduced the BOC Connect Agent Banking Service and ‘Branch on Wheels’ Mobile Banking Service. Our BOC Digi branches cater to tech-savvy youth, offering services such as account opening, cheque deposits, bill payments, and money transactions through kiosks.
Can you take us through some of the bank’s digital services?
Our ‘B’App ensures secure transactions anytime, anywhere, handling over Rs160 billion monthly across 200,000 daily transactions. Despite this, the app’s outdated User Interface (UI) and User Experience (UX), as it’s over eight years old, cause occasional difficulties. Therefore, we are developing a new banking app with modern technology and features, which will be launching this year.
‘Smart Pay’ aligns with the Central Bank of Sri Lanka’s new regulations, offering bill payments, money transfers, QR Payments, and government service and fee payments. Users can create QR codes for easier payments, and it’s compatible with any bank account. ‘Smart Pay’ processes over Rs6 billion monthly, demonstrating its success.
The ‘Smart Passbook’ service allows Sri Lankans worldwide to check their account balances, transaction history, loan details, fixed deposits, Ran Surakum Naya Seva (BOC Gold Loan) information, and remittance status digitally at any time. BOC Meta Banking via WhatsApp (011-2204444) offers easy access to account details.
As the bank with the largest card network and highest e-commerce transactions in Sri Lanka, can you detail these services?
BOC cards are divided into Debit, Credit and pre-paid categories. With over 5 million active Debit Card users, we maintain Sri Lanka’s largest ATM network with over 1,600 ATMs/CRMs. These cards enable cashless purchases at local businesses and global e-commerce transactions. BOC cardholders currently conduct over Rs300 billion worth of ATM transactions, and over Rs20 billion worth of POS and e-commerce transactions monthly.
BOC Credit Cards, available as VISA and MasterCard, provide easy payment solutions, up to 52 interest-free days for repayment and special discounts at many retail stores, hotels and restaurants island-wide. The recently introduced State Sector Credit Card offers unique privileges for government and semi-government employees. BOC Debit and Credit cards facilitate ATM withdrawals and payments globally.
BOC Multi-Currency Travel Card benefits travellers by simplifying foreign currency management, ensuring safe and easy money use abroad. BOC Fuel cards facilitate proper controls for fuel usage in businesses with vehicle fleets.
Can you elaborate on the services introduced to facilitate transactions using payment cards in Sri Lanka?
As a leader in the financial sector, BOC has introduced several services to facilitate acceptance of card transactions. As I mentioned earlier, we have deployed over 1600 ATM/CRMs facilitating over Rs300 billion worth of transactions a month. Also, we have deployed POS machines island-wide to accept payments at retail stores. BOC’s Internet Payment Gateway (IPG) supports accepting online payments and is widely used by businesses in Sri Lanka and the Maldives. Recently, we launched Pieze.lk, an aggregator service, that integrates various payment methods, enhancing our IPG offering.
Could you explain the services provided specifically for suburban and rural populations?
BOC is committed to economic development, prioritizing service over profit for both urban and rural populations. In 2017, we launched ‘Branch on Wheels,’ which is a complete bank branch built on a vehicle with Teller Counters, ATM, and Kiosk facilities. This branch can be deployed in any rural place to support the financial inclusivity of the country.
BOC Connect agent banking bridges cities and villages, fulfilling rural banking needs. Small shop owners, supermarkets, and any other rural businesses can become BOC Connect agents, offering deposits, payments, and money transfers. As ‘Smart Pay Merchants,’ small businesses can accept payments via QR codes with a minimal 0.5% service fee.
Finally, what’s next for the bank in terms of technology and innovation?
Bank of Ceylon continually enhances banking services to meet evolving customer needs. We’ve established an Innovation Lab to support technological advancements. Following CBSL’s Digital Road Map and the Government’s Digital Payment Road Map, we aim to introduce solutions to make banking more accessible to urban and rural populations. Our primary goal this year is to enable all personal banking activities through a single app. Also, there will be a comprehensive banking app for our business customers.