Banking industry today is going through a very fundamental and structural change. While the industry is dominated by few public and private sector banks and financial institutions, they are being challenged by new generation of digital banks, who are trying to outplay them with their innovative products and services.
Their greenfield approach and agility gives them a distinct advantage vis-à-vis traditional banks. Incumbent banks having created massive physical and technology infrastructure are forced to overhaul and upgrade their obsolete and disparate systems having massive cost implications. Optimizing their massive branch network's performance and lowering the cost of overall operations remains a challenge.
On the other hand, new banks are faced with the challenge of creating new highly functional and agile systems from scratch which will enable them to compete with the established players. These banks will be relying on next generation digital technologies and platforms to build the banking solutions to reach out to the huge market.