India could process 30 percent of US bank transactions by 2010: reports

From left: Dr. Fernando Im, Senior Country Economist for Sri Lanka and the Maldives, The World Bank, Hon. Eran Wickramaratne, State Minister, Ministry of Finance and Mass Media, Dr. W A Wijewardana, Former Deputy Governor of the Central Bank of Sri Lanka, Prof. Indralal de Silva, Former (Chair) of Demography, University of Colombo, Prof. Amala de Silva, Department of Economics, University of Colombo at the panel discussion on "Demographic Change in Sri Lanka" moderated by Dr. Ramani Gunatilaka, International Centre for Ethnic Studies.

NEW DELHI, Sept 27, 2006 (AFP) – India’s outsourcing industry will be able to process up to 30 per cent of US bank transactions by 2010, more than triple the current figure, the industry’s main lobby group was quoted as saying Wednesday.

“Currently, eight per cent of US banking transactions are processed by Indian BPOs (business process outsourcing) and the figure has the potential to rise up to 30 percent by 2010,” National Association of Software and Services Companies (NASSCOM) President Kiran Karnik said.

Karnik dismissed fears about data security protection in India, saying research by US-based Forrester Research consultancy in 2005 showed there were more security breaches in Britain and in the United States than in India.

The watchdog of the British banking industry, the Banking Code Standards Board, had scrutinised standards at Indian call centers and declared them to be among the world’s best, he added.

Foreign financial institutions and firms have been moving backoffice, call centre and other software-related work to India to take advantage of its English-speaking, lower-paid employees and cut costs.

But there has been growing concern about potential fraud in the industry which NASSCOM forecasts will grow by a