Supported by the ministry of finance, the Catapult: Future Foundation Programme is set to accelerate the development and implementation of mutualised technology platforms within the local fintech ecosystem. These will tackle four key areas including IT Security, Cloud Services and ESG.
Set up in response to the challenges faced by the industry, the primary objective of LHoFT’s new initiative is to establish shared utilities that yield sector-wide benefits.
“As a leading hub for financial services, ranging from international asset servicing to wealth management, listing and post-trade services to cross-border insurance and payment services, Luxembourg is uniquely positioned to leverage the strengths of its financial centre ecosystem to develop shared solutions to reduce costs and help drive efficiency for the entire industry,” explains finance minister Yuriko Backes.
Navigating today’s challenges
According to Hind El Gaida, chairperson of the programme’s steering committee, AML & KYC, data transfer and management, IT security and cloud services and ESG are at the forefront of the industry’s concerns. She said: “In all these areas they are looking for solutions to bring about significant cost savings, enhanced efficiency, and bolster Luxembourg’s competitive position in Financial Services, benefiting all stakeholders. Mutualisation, the key to collective success.”
To ensure the alignment of the sector’s needs, Anna Sobkow, senior programme manager will oversee the entire mutalisation process. In the first step, the programme will work closely together with the diverse fintech associations and gather information about the required solutions. Then, a call will be issued to the ecosystem’s fintech solution providers to eventually develop a PoC with key Luxembourg institutions.
Specific solutions
A cluster-based approach has been adopted to address these challenges faced by the finance industry and its stakeholders. Within each cluster, targeted solution concepts have been identified, which will focus on specific operational aspects or processes instead of “all-encompassing solutions”.
The programme’s steering committee is composed of 13 representatives from the financial sector and led by Chair, Hind El Gaidi. Representatives include the usual suspects from associations such as the ABBL, ALFI, LuxSE, LPEA, and others.
For more information on the program and its representatives, see here.
