Sector leaders want to create “purpose-driven” banking in the next decade

Banking in the future will have to face a wide range of challenges – disruption caused by financial technology, cryptocurrencies, digital transformation, appropriate and timely use of generative artificial intelligence and quantum computing, the growth of cyber attacks and the ongoing process of digitization of banking services. Your operations. The better (or worse) response to these issues will determine which banks lead in the next decade, more than the universally positive response by financial entities to the crises we have seen in recent years. As many financial entities continue to lick the wounds of the 2008 financial crisis, they were hit by the pandemic, then by the invasion of Ukraine, and now by months of soaring inflation and interest rates rising at a rate rarely seen before. Overall, banking has shown that it knows how to manage volatility, having proven, in many respects, its ability to withstand these risks.

According to the “Banking in 2035” report, issued by the Economist Impact magazine, which heard the opinions of 500 senior banking executives around the world, banking sector leaders are showing “cautious optimism” about the future. However, they believe that the growing importance of ESG (environmental, social and governance) topics, cryptocurrencies and digital transformation will have a positive impact on their organizations in the next decade. But “certain obstacles can prevent banks from remaining competitive, such as isolation of functions and departments, lack of relevant information to inform decision-makers in structures and concerns of bank customers regarding the use of their personal data.”

When it comes to digital transformation, more than three in four banking decision-makers believe their organizations are already meeting or exceeding the transformation goals they set for themselves.

Content reserved for subscribers. To read the full version go to here To JE reader