In 2024, banks’ ability and willingness to innovate is shaped by several key factors.
Rising regulatory scrutiny, especially around data privacy and cybersecurity, has made compliance more complex and costly.
Economic uncertainty and inflation have also tightened budgets, forcing banks to prioritize operational resilience over experimentation.
Meanwhile, customer demand for seamless digital services continues to push innovation forward. Competition from agile fintechs is accelerating the pace, while legacy systems remain a significant barrier.
Talent shortages in tech and evolving AI tools are further influencing innovation strategies. Overall, banks must balance risk, cost, and customer expectations to remain competitive.
