IDC Financial Insights has released its top 10 predictions for the European, Middle Eastern, and African (EMEA) banking industry in 2010.
Rachel Hunt, director for EMEA banking research, said: “Banks that started transformation projects three years ago will be better placed to compete in the future, while small institutions need to understand that few will survive the greatest market dislocation we have ever seen, without considerable review of their operating models. 2010 will be the year of intelligence as a competitive differentiator, as they tackle regulation, increasing audit and transparency requirements, and new competitors.”
Focus, transparency, and resolve will continue to be the guidelines for 2010, as banks tackle continued economic and financial strain. As the cost of doing business increases, banks that can harness information to deliver real intelligence will lead the pack. IDC Financial Insights’ top 10 predictions for EMEA Banking in 2010 are:
- Risk spending will be a highlight in otherwise flat IT spending priorities.
- Banks in 2010 will no longer be able to afford tactical regulatory compliance as compliance IT budgets grow to 25%.
- Banks will be challenged to take out 10% of IT costs to survive.
- Independent risk control will become integrated risk control as risk management moves closer to the point of origination.
- Data management strategy will be revised to deliver control back to the business and the end user as silo infrastructure is leveraged.
- Two more big banks will fail in Europe, while many small institutions will be forced to merge.
- New government and regulatory requirements will open the market to more nimble competitors.
- Will the banking industry finally tackle the single customer view?
- Better business intelligence will allow banks to battle for small and medium enterprises (SMEs) in 2010.
- In 2010 mobile banking will gain critical momentum, contactless payments will not achieve critical mass, and mobile payments will continue to fail.
A report by broking group Marsh examines the repercussions from the administration of the South Korean company, which filed for bankruptcy protection at the end of August.
Global research by C2FO suggests that smaller businesses are less concerned with the repercussions of Brexit and the upcoming US presidential election.
A squeeze on skilled talent means it now takes an average of seven weeks to fill open permanent roles in finance in the UK according to new research from financial services recruitment firm Robert Half.
Early-stage merger and acquisition deals in Asia-Pacific show nearly 10% year-on-year growth in recent months.