TECH BUYER Feb 2021 - Tech Buyer Presentation - Doc # AP46522620
IDC FutureScape: Worldwide Financial Services 2021 Predictions — Asia/Pacific (Excluding Japan) Implications
This IDC FutureScape presents IDC Financial Insights' view of the top 10 predictions for financial services as they apply to the Asia/Pacific (excluding Japan) (APEJ) region as banks, insurers, and capital market firms invest in technology capability to succeed amid the hopefully waning year of the COVID-19 pandemic and the years thereafter. Global predictions are contextualized for the Asia/Pacific region, especially considering specific trends and developments in the region's financial services sector.
"Anticipating adverse economic conditions, financial institutions will give much more focus on risk management, particularly in what seems to be a point of entry for the next crisis: credit risk. Financial institutions must ensure that they can withstand the pressures of the crisis period, and investments into credit decisioning systems, collections and recovery, asset–liability management, and stress testing will be forthcoming," says Michael Araneta, associate VP, IDC Financial Insights Asia/Pacific.
"One imperative stands out, which is lending. Lending serves as an indicator for the eventual income growth and profitability of banks, and the ability to lend well in crisis conditions has received a lot of attention especially among the Asia/Pacific region's largest institutions. Fittingly, four of this year's 10 predictions focus specifically on various aspects of improving such lending capability," says Ganesh Vasudevan, research director, IDC Financial Insights Asia/Pacific.