Deutsche Bank named sole clearing bank for IATA in Pakistan
Deutsche Bank’s Global Transaction Banking has been appointed the sole clearing bank for International Air Transport Association’s (“IATA”) pioneer Billing and Settling Plan (BSP) in Pakistan. The scope of the cash management mandate encompasses IATA’s entire banking and data processing requirements. Deutsche Bank’s cash management solution will enable IATA to streamline and centralise their payables and receivables processes by ensuring that collections from travel agents in Pakistan are paid promptly to the airline operators. IATA is the airline association, bringing together 261 member
airlines, including the world's largest. Flights by these airlines account for 94% of all international scheduled air traffic.
The mandate will involve monthly collection of cheques from travel agents in Pakistan situated in 25 cities, and the settlement of payments to the airline operators. In addition, Deutsche Bank will manage the inventory and distribution of the tickets to the travel agents and handle data processing pertaining to void and cancelled tickets.
Previously, travel agents had to settle payments directly with the respective airline operators. Hence, an airline operator would have to manage payments from over 350 travel agents. Under Deutsche Bank’s offering, both collections and payments will be consolidated under and managed by Deutsche Bank. This will help to reduce the collection turnaround time significantly, while the payments process will be streamlined as airline operators will receive only a single payment fortnightly for all their sales proceeds, irregardless of which travel agent is involved. In addition, the process is being further accelerated through the automation of instructions and accounts reconciliation.
Faisal Zahid, Head of Cash Management Corporates Pakistan, said, “Deutsche Bank’s value
proposition is to provide our clients with a comprehensive endtoend solution. With Deutsche Bank’s continued investment in technology, this will enable us to empower our clients with leading technology solutions to bring their businesses into the next level of growth. We look forward to further expanding our business relationship with IATA in other parts of Asia Pacific.”
Added Shazad Dada, Chief Country Officer and Head of Global Banking Pakistan, “This
reaffirms Deutsche Bank’s commitment to Pakistan. Such significant mandates further highlight Deutsche Bank’s value proposition to our regional and local clientele.”
For further information, please call:
Pwai Foon Tang
(65) 6423 8189
About Deutsche Bank
Deutsche Bank is a leading global investment bank with a strong and profitable private clients franchise. A leader in Germany and Europe, the bank is continuously growing in North America, Asia and key emerging markets. With Euro 1,035 billion in assets and 64,103 employees, Deutsche Bank offers unparalleled financial services in 73 countries throughout the world. The bank competes to be the leading global provider of financial solutions for demanding clients creating exceptional value for its shareholders and people.
Deutsche Bank commenced operations in Pakistan in 1962. Today, it ranks among the top foreign banks in the country, providing financial solutions to multinationals and large local corporates through branches in Karachi and Lahore. The Group employs more than 60 staff in the country.