AusBN - Several Australian banks are seeking deals and investment with fintech firms in the next 12 months, according to the findings of a report by global accountancy firm EY.
The Australia-focused section of EY’s 2018 Global Banking Outlook found that 80% of national banks are targeting joint ventures and deals with digital technology businesses in the light of increased opposition from disruptive entrants into the financial market.
“With the pace of technological change and the speed at which new innovations are hitting the market, it’s not surprising that banks are increasingly focusing on their digital agendas,” said Tim Dring, EY Oceania banking and capital markets leader.
“Australian banks have already made significant progress in this space and we are already seeing them make significant advancements in areas such as mobile payments platforms, fraud protection, biometric authentication and the use of robotics process automation.”
Dring added that Australia has developed a repuration for quicklly adopting new digital technologies, with the recent EY FinTech Adoption Index finding that Australia has the fifth highest rate of fintech adoption in the world.
“I think what we are seeing in the comparison of digital maturity level is that Australian banks are likely to be benchmarking themselves against emerging competitors and online leaders in other industries, who have more digitally-focused business models and less legacy technology systems to navigate.”