Industry Analysis & Industry Trends
Banks perform a vital role within the markets they operate in, providing businesses, consumers and governments with access to financial products and services. They ensure the sustainability of the financial system by bringing together lenders and borrowers, which allows for the flow of funds.
The collapse of the US subprime mortgage market and consequential global recession shook the world's financial system and threatened to destroy the core foundations that the financial system relies on to function. Throughout the world, banks suffered unprecedented losses as their loan loss provisions skyrocketed due to their borrowers becoming unable to repay debt obligations... read more
The industry is characterized by establishments providing financial services on a state level to a national level. In order to compete effectively, a physical presence is required in the form of branches and ATMs. Industry participants have invested substantially in a branch network as a means of distributing their services. Further and continuous investments in technology and communication infrastructure are necessary to remain competitive. Such investment costs will include keeping up with technology improvements, maintaining a strong branch network and distribution status, increasing ATM presence, and aims to increase efficiencies with internet and other electronic means... read more