Finacle, Flexcube, 6 other top core banking applications used by Nigerian banks

• Core banking applications are the engine room of banking operations
• There are many foreign-based core applications providing services to Nigerian banks
• TheRadar highlights the top core banking applications in Nigeria, which include Finacle, Flexcube, and Temenos T24, among others

Recently, the Nigerian banking sector was in the spotlight following system upgrades undertaken by banks to ensure seamless and easy banking.

The upgrades involved migration to core banking applications and migration of customers’ data and transactions, among others, which require time and meticulousness.

Core banking applications or software are crucial in the financial services sector as they are responsible for the creation and management of accounts, balances, transactions, journals and the storage of client data and receipts, among others.

The recent migration trend started with Sterling Bank, which notified customers of a planned upgrade in September. The upgrade followed the bank’s migration of its Information Technology (IT) services from a Switzerland-based core banking application, Temenos T24, to SeaBaaS by Peerless, an indigenous core banking solution, in September 2024.

The upgrade led to glitches with the bank’s services, with customers lamenting their inability to carry out banking operations, especially using mobile platforms.

The exercise soon snowballed into an industry-wide trend as some banks announced system upgrades.

TheRadar observes that the migration to core banking applications shows a growing trend among banks. While some banks are moving to indigenous platforms and pitching others to do the same, others are moving to new platforms to save costs.

In this light, TheRadar compiles a list of the top core banking applications and the banks they provide services to in Nigeria.

8 banking applications used by Nigerian banks

1. Finacle

The core banking application owned by Indian tech giant Infosys is the most popular and the darling of most Nigerian banks. This is not surprising considering that the software offers cloud-based core banking solutions that help financial institutions modernise their cloud-based banking services.

The software is integrated with open APIs, embedded customer insights and a real-time processing engine to offer a comprehensive set of features that help accelerate financial institutions’ innovation-led growth.

Just recently, Guaranty Trust Bank (GTB) migrated from the United Kingdom-based ICS Financial Service to the Indian-based Finacle.

Finacle also provides services to other Nigerian banks like FirstBank, which switched from BankMaster, Coronation Merchant Bank, FBNQuest Merchant Bank, Fidelity Bank, First City Monument Bank (FCMB), Stanbic IBTC, United Bank for Africa (UBA), Globus Bank, the defunct Heritage Bank and Wema Bank.

2. Flexcube

Flexcube is another Indian-based firm that provides core banking application services to Nigerian banks. It is owned by Oracle Financial Services. The application was initially i-Flex software but was bought by Oracle in 2005.

The software’s comprehensive, interoperable and modular bank is its flex in providing core banking services, combined with its front-to-back digital capabilities, which help financial institutions to innovate and create next-generation digital customer experiences. 

With advanced automation tools that rely on Machine Learning, Flexcube is the go-to for financial institutions aiming to start retail banking software and solutions.

Some of the banks enjoying the firm’s services are Zenith Bank, which migrated from Phoenix, Access Bank, Citibank, Ecobank, FDSH Merchant Bank, Polaris Bank, Titan Trust Bank and Union Bank

3. Temenos T24

The Switzerland-based firm is also popular with Nigerian Banks. It was founded in 1993 and has over 25 years of experience providing bank software to financial institutions, delivering experience, a wide range of system integration, rich functionality, and cutting-edge technology.

Temenos has over 3,000 clients, including 41 of the world’s top 50 banks, including the Central Bank of Nigeria (CBN). It offers services to Keystone Bank and was Sterling Bank’s immediate-past core banking service provider.

4. Basis/Banks

This core banking software provided services to some Nigerian banks like GTB as of 2020. The software is also used by Providus Bank, Suntrust Bank and Unity Bank.

5. iMAL

iMAL banking software is one of the least popular in Nigeria. The Singaporean software powers the core banking activities of Jaiz Bank in Nigeria.

6. SOPRA (Amplitude)

Based in the United States of America (USA), this banking software provides core banking services to TAJBank Limited in Nigeria.

7. Intellect Design Arena

Intellect Design Arena is one of the least popular Indian-based software programs that provides core banking services to Nigerian banks. The only bank in its clientele in Nigeria is Nova Merchant Bank.

8. SeaBaaS

This core banking application is the newest entrant to the Nigerian banking scene. Developed by Peerless, SeaBaaS is Africa’s first-ever indigenous core banking solution.

The software currently has Sterling Bank in its clientele in Nigeria after it migrated to the platform in September 2024.

Sterling Bank said SeaBaaS was developed to position Nigeria as a leader in digital banking, driven by local talent and cutting-edge technology while also saving cost and capital flight to foreign-based IT platforms.

It noted that the newly deployed system leverages advanced data analytics and Artificial Intelligence (AI) that will enable smarter, faster financial services, enhancing both customer experience and operational efficiency.

System upgrade: Zenith GT, 3 other Nigerian banks spent N178.77bn on IT infrastructure in H1 2024

Meanwhile, TheRadar reported that five Nigerian banks invested a collective N178.77 billion in enhancing their Information Technology (IT) infrastructure in the first half (H1) of 2024 to ensure smooth operations.

With the recent wave of bank system upgrades, an analysis of banks’ financial statements shows that five banks, including Zenith, Access, Wema, United Bank for African and Guaranty Trust Holding Company (GTCO), the parent body of Guaranty Trust Bank (GTB), demonstrated commitment to enhancing their digital capabilities.