A recent Capgemini report highlights that corporate and investment banks (CIBs) are struggling with technology innovation programs, with over 80% of executives reporting new product implementations fail to boost revenue. Additionally, 51% indicated these products fall short of expected cost savings. Only 29% of IT budgets are allocated for transformative technologies, while 43% prioritize maintaining legacy systems. Customers demand real-time responsiveness, personalized engagement, and innovative solutions, but fewer than 20% feel these needs are met. The report projects a revenue growth slowdown from 6.5% to 5.4% over the next five years due to competitive pressures and technology challenges. CIBs must modernize legacy infrastructures, embed AI, and adopt flexible operating models to thrive. Reskilling AI talent internally is essential, yet 40% focus on external hiring. Building governance within AI processes will help mitigate high compliance costs. A disciplined strategy involving enterprise-grade platforms and strategic partnerships is vital for success.
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