The annual Banking Banana Skins survey, conducted by The Centre for the Study of Financial Innovation (CSFI) in association with PWC revealed some inetersting trends, according to an article published in Business Live.
Johannes Grosskopf, Banking and Capital Markets Leader, PwC Southern Africa, says while banks in the rest of the world cite the shortage of liquidity and the availability of capital as their prime concerns, South Africa's banking industry faces different concerns to those of their international counterparts.
The survey shows that one of the top concerns facing South Africa's banking industry is the sector's growing dependence on technology (No. 3).
"Dependence on technology in the banking industry is huge, with banks having to invest significant amounts in implementing new systems to defend themselves against fraudulent activity. There has also been a sharp awareness around the potential dangers of cyber crime and hacking, and the huge financial and reputational damage, such economic crime can cause," he says.
It would therefore seem clear that Information Governance this year will rank high on Boards' agendas, with POPI amongst the mix.
Grosskopf says that the most significant change taking place in the South African banking industry will be the introduction of Basel 3, which is expected to have an effect on the trading book and funding models of banks. In addition to Basel 3, banks will have to come to terms with the provisions of the new Companies Act, compliance with International Financial Reporting Standards and the proposed Protection of Personal Information Bill (POPI).
Read the full article here.