Itella will handle the data capture, storage and archiving of documents relating to payment services, such as bank card slips and contracts.

Under the agreement, 70 bank employees will transfer to Itella on 1 September 2005. Nordea says the change will not lead to any redundancies.

Nordea says the outsourcing is in line with its strategy to focus on its core business. Last year the bank outsourced the back-office handling of paper-based payments services at its Sweden unit to Stockholm BPO firm Tradimus and also closed down its Nordic equity research department and outsourced the operations to Standard & Poor's.