Cedar-IBSi Digital Banking Summit

Digitisation is the norm. Financial institutions and Banks must redesign systems that are scalable, flexible, and capable of meeting rapidly changing customer demand to remain competitive. On the other hand, FinTechs are now collaborating with banks to enable this digital transformation together. The availability of advanced analytics, cloud, and open APIs is decreasing the barriers to entry in Digital Banking.

The Cedar-IBSi Digital Banking Summit explores global perspectives from industry leaders on various topics, including NextGen Digital Banking, the Role of Neo and Digital-only Banks, Customer Journeys and Experience, Leveraging Big Data, Cloud, and more.

The Future of Banking in a Digital India

Digitisation has become the new normal, and banking in India is evolving alongside a wider digital transformation in the society. India has experienced exponential growth in terms of bank account holders preferring digital channels for banking. The penetration of online banking has already seen a strong growth from 14% in 2018 to 35% in 2022. This growth trajectory is set continue its forward momentum with penetration expected to reach 54% by 2026. With increasing adoption of smartphones and internet connectivity, mobile banking is likely to become the preferred mode of banking for many Indians. At the same time, the neo banking market in India, which is still relatively small compared to other countries, is expected to grow multi-fold in the coming years.

Fintech startups are disrupting the traditional banking industry, offering innovative solutions for payments, lending, insurance, and wealth management. This trend is likely to accelerate with banks and fintech players collaborating to develop new products and services that cater to the evolving needs and preferences of customers.

Additionally, the introduction of the Open Banking API framework is expected to promote increased competition and innovation in the sector as third-party service providers leverage customer data to offer value-added services. Several banks have already started implementing Open Banking APIs, making this an important trend to watch out for.

Banks are expected to focus on personalization, data analytics and automation to offer customized solutions. By analysing data on customer behaviour and market trends, banks can identify potential risks and take pre-emptive measures to mitigate them. Especially in a country like India, analytics play a huge part in customer segmentation for targeted promotions or discounts. This can help banks to improve customer satisfaction and loyalty, and ultimately drive revenue growth.

The transition towards a cashless society is also likely to continue, with banks providing secure and convenient digital payment solutions. UPI has already transformed the Indian payments landscape and has enabled millions of individuals and businesses to access convenient and secure payment options.

The expansion of UPI into other countries across Asia and the Middle East will likely have a significant impact on instant and cross-border payments.

Overall, the future of banking in India is expected to be characterized by enhanced innovation, competition, technology, and changing consumer behaviour. Banks need to remain competitive and need to design systems that are scalable, flexible, and capable of meeting rapidly changing customer needs and expectations.

The Cedar-IBSi Digital Banking Summit explores perspectives from industry leaders on various topics, including NextGen Digital Banking, FinTech partnerships, leveraging Big Data, cloud, implications on cybersecurity and more.