In response to growing demands for more user-friendly interfaces and improved digital experiences, major large and mid-size banks are intensifying their efforts to bolster their digital capabilities. Financial institutions are recognising the need for revamp in the existing user interfaces of their mobile applications and websites.
Bank of Maharashtra strengthening digital infrastructure
Bank of Maharashtra (BoM), based in Pune, has undertaken a series of strategic initiatives to fortify its digital infrastructure and channels. These measures include the launch of a private cloud platform, the implementation of an advanced asset monitoring mechanism through predictive machine learning models, and the upgrade of its mobile banking application.
BoM’s proprietary private cloud infrastructure, named Mahabank Nakshatra, aims to provide robust cloud capabilities to support the bank’s digital infrastructure and application hosting. The institution emphasizes that this move aligns with its commitment to enhancing overall performance and customer experience.
The bank’s adoption of a predictive machine learning model for asset monitoring is projected to offer proactive alerts, predicting the likelihood of an account transitioning into a special mention account (SMA)-0 category. This technology-driven approach is set to mitigate potential stress in accounts related to retail, agriculture, and MSME portfolios.
HDFC Bank partners with Backbase to ramp up digital banking services
HDFC Bank, the largest private sector bank in India, has recently taken a significant step toward elevating its digital banking services. In March, the bank announced its collaboration with fintech firm Backbase to support its retail digital banking platform services. This partnership is aimed at aligning HDFC Bank’s digital infrastructure with evolving consumer expectations and regulatory requirements.
Backbase, known for its expertise in providing digital architecture services and platform infrastructure for banks, is expected to contribute to HDFC Bank’s efforts to diversify its digital capabilities.
State Bank of India’s focus on data analytics and digital growth
The bank is vigorously investing in data analytics to drive customer acquisition on the asset side. SBI had significantly ramped up its digital lending activities, underwriting around Rs 29,000 crore of loans through digital channels. This dynamic growth underscores the bank’s commitment to harnessing technology for expanding its lending operations.
Federal Bank and Bank of Baroda’s digital investment plans
Federal Bank is poised to amplify its IT spending as a percentage of overall operating expenditure, with ambitions to increase it from the current 5.6% to approximately 8% over the next two to three years, according to reports. This strategic move reflects the bank’s determination to embrace digital transformation and bolster its technology-driven services.
Bank of Baroda is prepared to allocate additional funding to meet the demands of its digital initiatives.
ICICI Bank has a comprehensive digital strategy
ICICI Bank, a leading player in the financial sector, has embraced an interoperable digital infrastructure for sourcing and processing documents digitally. The bank adopts an all-encompassing approach by offering curated products and services through front-end applications, ecosystem hubs, and well-equipped branches and managers. These resources, coupled with analytics and pre-approved loan limits, empower both human and bot relationship managers to serve customers round-the-clock.
ICICI Bank’s forward-thinking technological transformations have been acknowledged with its third consecutive recognition as the Bank of the Year in the BT-KPMG Best Banks and Fintechs Survey for 2021-22. This accolade underscores the bank’s successful navigation of its digital evolution while consistently delivering top-tier banking services.
