The allure of the Metaverse seems to be waning among UK banks, according to a new report from Hexaware Mobiquity.
The company’s Emerging Technologies in Banking Report 2023 reveals that the number of UK banks investing in augmented reality (AR) and virtual reality (VR) for Metaverse ventures dropped significantly—by almost a third—over the past year. Previously, 56% of UK banks had shown an interest in these technologies, but the current number stands at just 38%.
Banks are now turning their attention to different aspects of the tech spectrum. Cybersecurity tops the list of priorities for nearly a quarter (23%) of the respondents, closely followed by cloud technologies (22%) and Open Banking APIs (21%). Moreover, the study points out that UK banks are lagging behind their global counterparts in Generative AI adoption, particularly engagement with ChatGPT. Only 13% of UK banks are actively engaging with this technology, compared to 19% globally.
Hexaware Mobiquity VP Global Digital Banking, Peter-Jan Van De Venn said, “Technology is evolving extremely quickly right now, and banks must embrace the change if they want to avoid missing out on some huge opportunities. The landscape is shifting constantly, underlined by the fact that while many UK banks were exploring the Metaverse last year, the urgency of these initiatives has been superseded by more pressing requirements that have evolved over the past 12 months.”
The survey also revealed UK banks are leveraging emerging technologies to advance their ESG (Environmental, Social, and Governance) initiatives. A notable 41% are developing data visualisation tools to better articulate ESG risks and opportunities to stakeholders. Machine learning and artificial intelligence are also being employed by 37% to scan through vast datasets to identify ESG opportunities and risks.
Peter-Jan Van De Venn added, “Technology is playing an increasingly central role in ESG, helping banks continue to work towards their environmental and social responsibility goals. This can put them on track to address global environmental challenges, unlocking a greener future for financial services.”
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![Temenos (SIX: TEMN) today announced that National Bank of Iraq (NBI), part of the Capital Bank Group, has successfully gone live with Temenos core banking and payments. NBI, which has 27 branches across Iraq, offers a comprehensive range of services to individuals and businesses in the country. Since 2005, NBI has been majority owned by Capital Bank, one of the top financial institutions operating in the Jordanian and regional markets, with assets of approximately JOD 7.6 billion[1]. With this implementation, NBI moved from its legacy systems onto the same core banking platform as other entities in the Capital Bank Group. This will enable NBI to operate more efficiently and integrate seamlessly with other systems to develop new products faster and deliver an improved customer experience. Capital Bank Group is a long-standing Temenos customer with other entities in the Group including Capital Bank of Jordan, Bank Audi, Société Générale Bank Jordan and NBI Saudi Arabia, already on the Temenos platform. NBI also becomes the first part of the group to adopt Temenos Payments, which enabled the bank to process more than 100,000 transactions of incoming and outgoing domestic and international payments in the first 15 days of operation, with a 99% straight-through processing rate. The migration to the Temenos platform for core banking and payments at NBI was completed in under 12 months thanks to Temenos’ pre-configured banking and payments capabilities and APIs which reduced the need for complex customizations, as well as close collaboration between Temenos, NBI, Capital Bank and delivery partner ITSS. This success was recently recognized in the IBS Intelligence Innovation Awards, with Capital Bank winning ‘Best Implementation of Core Banking Services'. The implementation at NBI follows several other successful transformation projects with Temenos for Capital Bank in the last few years, including the launch of NBI’s branch operations in Saudi Arabia in just 45 days, as well as the integration of Bank Audi and the former Jordanian operations of Société Générale, each of which was achieved in under four months. Collectively, these projects helped Capital Bank to increase operational efficiency by more than 50% within three years, bringing significant cost savings and an improved customer experience. With faster, more accurate processing and immediate service requests, the bank has maintained high customer retention rates and a reputation for service excellence. Izzidin Abusalameh, Chief Operations Officer, Capital Bank Group, commented: “This achievement marks a significant milestone in our digital transformation journey and positions us as a leading player in the banking industry. We have seamlessly transitioned the National Bank of Iraq to a cutting-edge core banking system which will not only enhance operational efficiency but also support providing our customers with a superior digital banking experience. Our continued partnership with Temenos has not only provided us with an advanced technological platform but has also facilitated a culture of flexibility and adaptability, enabling us to execute our ambitious growth plans.” Lee Allcorn, Managing Director, Middle East & Africa, Temenos, said: “Congratulations to National Bank of Iraq and the Capital Bank team on this successful implementation that gives NBI business agility and the same modern technology platform and ability to deploy fast with pre-configured banking capabilities as the rest of the group. With Temenos, Capital Bank Group is future-ready, and we are proud to support them as they continue to innovate and leverage our platform to grow sustainably and enhance the banking experience for customers.”](https://fintech.global/wp-content/uploads/2024/04/rupixen-Q59HmzK38eQ-unsplash-2-218x150.jpg "Flutterwave teams up with Acquired.com to streamline outward remittances in EU and UK")
