Russian cbank: Lack of digital tech may steal half banks’ profit

MOSCOW, Feb 20 (PRIME) -- Banks may lose 20–60% of their profit by 2025 unless they introduce technological innovations into their work, the Russian central bank’s First Deputy Chairwoman Olga Skorobogatova said on Tuesday at a parliamentary session.

“The financial industry all over the world has become a driver of financial digitization. The global trends speak for themselves,” Skorobogatova said.

“According to the latest studies, about a half of clients do not go to branches and receive their services remotely. Banks may lose 20–60% of profit by 2025 already if they fail to apply digital platforms, digital technologies. Technological companies, which are emerging now, which offer financial services, among others…may take this share.”

More than a half of credit organizations worldwide, or 52%, decided to invest in artificial intelligence. “What is really important to underline here is that in 2018 banks admitted on the global level that the main topic they should pay attention to is cybersecurity and data protection,” Skorobogatova said.

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