Banking systems hit by Mumbai floods
29 July 2005 | 5139 views | 0
Torrential rainstorms in Mumbai have hit banking transactions across India as banks struggle to keep computer systems running.
Nearly 740 people have so far died as monsoon rains have swept across Mumbai and triggered mudslides in the region. The downpours have seriously affected banking systems, with power supplies down and back-up facilities submerged underwater.
Banks which use Mumbai as a central hub for processing transactions - including Citibank, HSBC, HDFC, ICICI, and the State Bank of India - experienced disruptions across their national networks. The degree of disruption has varied from bank to bank and region-to-region, with ATMs intermittently operational and core banking systems failing to function.
Banking systems supplier i-flex - rumoured to be a bid target of Oracle - was forced to reschedule its results announcement and conference calls with analysts, "due to the unprecedented flood situation in Mumbai during the last two days and the logistical difficulties arising".
The state government in Mumbai declared Wednesday and Thursday as public holidays, closing down schools, banks and offices.
The rainfall is the highest ever recorded in India, with Mumbai receiving half of its average annual total in 12 hours.
By Friday morning, public offices began re-opening, but power supplies in the region remained spotty.