1、Future of commercial bankingSeptember 2022home.kpmgThe customer first in digitalThe commercial banking industry is rapidly evolving through digitization,increased competition and tighter regulation.With US$210 billion invested in fintech globally during FY21,1 commercial banks serving small and medi

2、um-sized businesses are transforming to compete.So,what will the future commercial banking landscape look like and what should commercial banks do to stay competitive?We start by looking at the signals and drivers of change in the commercial banking sector,reinforced by KPMGs survey of over 400 comm

3、ercial banking leaders from around the world,who are involved with customer-centric strategy and enablement decisions.2 Drivers of change include shifting client interactions from branches and business centers,towards embedded financial applications enabling customers to access services when and whe

4、re they need them.Data privacy has become critical,with open banking rules giving customers greater control and ownership of their personal information,though increasing compliance demands.More effective data,combined with advanced technologies are driving automated tailored finance and investment s

5、olutions,reducing fraud and improving regulatory compliance.Decentralized ledger technology hopes to increase speed,security and transparency of transactions and international finance operations.Rising expectations of sustainability and corporate purpose means that environmental,social and governanc

6、e(ESG)policies and targets should be integrated into processes,risk policy and business models.As catalysts for change are identified,we will discuss what we believe will be the three dominant future business models in the new reality that we are entering;the new commercial banking ecosystem will en