London, UK (PRWEB) May 1, 2008
Cititec IT Recruitment, the global supplier of financial IT staff, will benefit from considerable new investment by international banking groups. According to a recent survey by Ernst & Young, financial institutions are forecast to increase their IT investment by up to 25% during the next 12-18 months.
The extra spending is being prompted by a rogue trader at the French bank, Société Générale. The young trader lost €4.9 billion - the largest fraud in banking history -which exposed major flaws in the company's operational risk system. This software platform now requires a complete overhaul.
The fiasco forced many banking institutions to take a critical look at their own risk management platforms, which are often inconsistent across an organisation. The cost of replacing them will soon run into the millions. And while risk management systems can be purchased over the counter, Cititec's specialist IT contractors will be hired to tailor the software for individual banks.
In addition to the influx of new risk-related business, Cititec is looking toward the Asian banking market to accelerate its growth. With considerably less sub prime exposure than American and European banks, Asia's financial system appears to be robust. In light of this, Cititec has dispatched a team of four senior consultants to Hong Kong and Singapore. Further consultants are being recruited to take advantage of this rapidly changing market.
Stephen Grant, Managing Director of Cititec IT Recruitment, commented:
"We are already seeing a rise in demand for IT risk specialists as banks take on the daunting task of overhauling their risk management systems across the entire business. With new sub prime losses hitting the headlines every week, no-one needs the additional exposure of rogue traders. This is an issue that must be tackled head-on.
The increased spending will give our IT contractors a further boost for the next 12-18 months. It is also reassuring to see strong demand for our staff on equity and commodities desks, despite the onslaught of the credit crunch. If banks are to come through this financial crisis intact, they will need to invest heavily in experienced IT personnel to strengthen and repair their infrastructure.
What's more, Cititec is in an excellent position to expand into Asia. The market conditions are ripe, and we now have the capacity to beef up our team of specialists. The Asian market is huge and holds many potentially high-yielding contracts for us. Each of these exciting developments bode extremely well for the future growth of Cititec."