This year’s NSW Digital Banking Summit got me thinking: what will banking look like in the year 2040?
Will we still be discussing AI, personalisation, embedded finance, simplification, seamless processing, trust, customer experience, digitalisation, and regulation? Or will new terms, concepts, inventions, and challenges dominate our conversations? Likely both, given the ever-changing global dynamics and shifts in macroeconomics.
For now, the conversations this year differed slightly from last year’s, which centred on CDR, Open Banking, the “battlefield in the time to yes,” data, data, data, and security. This year, highlight conversations for me include:
- The 2040 financial services world could be a “less” world: Cashless, frictionless, seamless, painless!
- “Just because we can doesn’t mean we should”: We need to sit in the problem, as sometimes the solution is not immediately apparent and not always tech.
- AI will continue to dominate discussions globally, though its usage in financial services is still in its infancy.
- The last year has seen many “random acts of AI”: But this does not equate to true digital transformation.
- Striking a balance remains an ongoing challenge: Between innovation and regulation; Managing customer expectations for fast and easy versus safe and secure; Balancing “floor on investment” with innovation and progress.
- Strategy is a critical component of a digital-first approach (nothing new here).
- Australia’s banking, finance, and tech sectors are leading the way, but we were reminded that markets like the US are advancing rapidly, particularly in AI.
- The buy versus build dilemma remains top of mind for lenders. A vendor’s ability to respond quickly and provide solutions for both the present and future is crucial in decision-making.
- Utility is a key indicator of digital adoption and success.
As we navigate the evolving landscape of digital banking, the insights from the 2024 NSW Digital Banking Summit offer a glimpse into the future. The challenges we face today—balancing innovation with regulation, managing customer expectations, and integrating AI effectively—will undoubtedly shape the banking world of 2040.
Looking forward to “Emceeing” the next Digital Banking Summit Victoria in Sept 24 and picking up some of these topics. And of course always keen to chat with lenders and industry partners as we transform digital banking.
What do you think will be the biggest challenges and opportunities for the financial services industry in the coming decades?
Share your thoughts and join the conversation. Let’s envision the future of banking together.
If you’re ready to embrace digital transformation, what are you waiting for?