The U.S. government relief programs in response to COVID-19 have put an unprecedented workload on the banking industry. The small business funding programs like Paycheck Protection Program (PPP) loans and Small Business Administration (SBA) Bridge loans have generated 14 years’ worth of applications in 13 days underscoring the importance of digital transformation.
Banking providers around the world are helping millions of people and small businesses manage tremendous financial uncertainty amid COVID-19. Though banks have risen to the challenge with remarkable ingenuity, the crisis underscores the need for them to accelerate their digital transformations.
The success of chief information officers (CIOs) and IT departments in the banking industry is critical to delivering the financial support that’s so desperately needed to withstand the economic impacts of COVID-19.
The unprecedented disruption of COVID-19 has changed how consumers interact with banks; there’s been a 20% increase in digital engagement levels and a halving in the use of cash. Many banks have also needed to rapidly meet the demand for new services such as ‘Interruption Loan Schemes’ to support those hit hardest by lockdown measures and, like many organizations, are operating with a partially remote workforce. Much of this change could remain even after the pandemic;
The global lockdown has forced society to rely more heavily than ever on digital channels in 2020. Those who still preferred face-to-face interaction in a branch setting to the convenience of going online have been forced to adapt and learn new habits. In the financial services sector, UK bank Halifax reported seeing the number of online transactions made by over-65’s doubling during the lockdown, giving one clear example of the extent of this impact.
As the COVID-19 pandemic changes consumer behaviour and puts increasing pressure on traditional business models digital transformation has never been more important. But to reap the benefits, organisations must seamlessly integrate applications, data, and devices. This requires an organisation-wide API integration strategy.
In the financial services sector, digital transformation provides vast opportunity for innovative companies to use an API-led strategy to build consumer and merchant networks that will drive economic development across ASEAN.
Businesses of all industries and sizes can understand the growing importance of a single, unified customer view. Financial institutions in particular are realizing the advantages of an aggregated representation of customers’ personal data and behavior such as previous interactions, history, purchases, etc. to better serve their customers.
MuleSoft provides the most widely used integration platform for connecting any application, data source or API, whether in the cloud or on-premises. With Anypoint Platform®, MuleSoft delivers a complete integration experience built on proven open source technology, eliminating the pain and cost of point-to-point integration. Anypoint Platform includes CloudHub™ iPaaS, Mule ESB™, and a unified solution for API management™, design and publishing.