Tata Consultancy Services (TCS) has expanded its partnership with Bank of Baroda, India’s second-largest public sector bank, to continue implementing an end-to-end financial inclusion solution over the next five years.

TCS, India’s largest IT company, stated that the application can process around 12 lakh transactions per day and will assist the bank’s 55,000-plus agents in providing better service to over Rs 60 million customers in unbanked areas. The financial details of the deal were not disclosed.

This five-year deal is a part renewal, building on the 15-year partnership between the two companies that was established in 2010. It marks the fourth extension of this nearly 15-year relationship, with Bank of Baroda having around 165 million customers across 17 countries.

Top Indian software service exporters, including TCS and Infosys, are diversifying into emerging markets such as India and the Middle East, beyond their traditional strongholds like North America and Europe, to future-proof their businesses in an increasingly volatile technology market.

As part of the expanded deal, TCS will deploy its TCS Financial Inclusion Gateway Solution for Bank of Baroda, providing central infrastructure including hardware and software to be implemented in the bank’s data centres. TCS will also assist with application support and maintenance, manage change management services for regulatory and business requirements, and help implement new services as needed. In addition to supporting banking services such as account opening and IMPS and NEFT transfers, the application will process financial and non-financial transactions, including Aadhaar and debit card-based transactions. It will also simplify enrollment into critical government insurance and pension schemes, such as Pradhan Mantri Jeevan Jyoti Bima Yojana, Pradhan Mantri Suraksha Bima Yojana, and Atal Pension Yojana. This will help the bank better serve its customers in rural and semi-urban areas.

Vimal Kumar Negi, General Manager of Financial Inclusion and Corporate Social Responsibility at Bank of Baroda, stated that the renewed agreement would enable them to leverage TCS's cutting-edge technologies and innovations, further enhancing operational capabilities and competitive edge. He emphasised that such a long-term arrangement ensures stability and allows for strategic planning to continue bridging the financial gap for unbanked and underserved populations.

Manoj Indulkar, Vice President and Operations Head of India Business at TCS, expressed pride in partnering with Bank of Baroda for nearly 15 years in building a robust financial inclusion ecosystem. He noted that the collaboration has enabled the establishment of 55,000 touchpoints across the country, bringing essential banking services to the unbanked population.