Argentine software company MGI-Accusys has joined with cash management solutions provider Optimal Control Cash for a new venture, according to a press release from MGI-Accusys.
The new company will be called Control Optimo Efectivo Cono Sur. In Argentina, it will build its first development and support center for the Southern Cone, using a model that allows banks to more efficiently manage their cash.
According to the model's developer, Antonio Melo, cash management is one of the top three costs for banks, and if carried out properly it can lead to significant savings, cost reductions and profitability. The model controls the money distributed throughout central and regional treasuries, cashiers, the branch network and the headquarters of corporate clients.
In Argentina, as in many Latin American countries, a large amount of cash often circulates in the economy. According to MGI-Accusys CEO and chairman Carlos Pan, when banks use the company's model they can reduce the cost of handling cash by up to 30%.
Pan said the development and support center being built in Buenos Aires will also serve Uruguay, Paraguay, Peru, Bolivia and Chile, with 24-hour support.
The model was developed in Venezuela and has been present in Central America for 10 years. It is used by more than 28 banking entities.