Banks, Fintech to shift future of banking industry

DUBAI: Digitisation has changed every sector, and the banking industry is no exception, leading several banks to reduce their physical footprint in an effort to bring more customer centric digital plaforms to the forefront of their retail offering. This digitisation and transformation journey has led several global and local banks, brokers, insurers, and investment managers to opt for online and digital solutions leading to a boost in partnerships with Fintech companies.

“In the early 90s, with the UAE economy and population growing, banks saw an opportunity and launched innovative retail products for personal accounts, credit cards, auto and personal loans to fulfil the banking requirements with a focus on salaried individuals. These products were an instant hit and had an overwhelming response amongst the general population, specifically corporate and government employees. With the growing demand for retail banking products, banks were compelled to grow their distribution network and physical footprint, in addition to exploring other avenues to convert this opportunity. This gave birth to the outdoor sales - the UAE banks were the first banks regionally to introduce sales teams concept where a sales officer would visit an employer or a corporate rather than the employees visiting a bank branch,” said Ali Imran, Cofounder and Chief Commercial Officer of Gofinance, who was amongst the first retail banking outdoor sales teams in the country.

“It is happening all over again, but this time in the digital space,” added Imran.