Futuristic banking studies a necessity for economic development: Cabraal

 CB Governor Ajith Nivard Cabraal opening the new auditorium of IBSL. Senior officials of CBSL and IBSL look on 

By Shabiya Ali Ahlam

Banking studies in the country should take into consideration the prospects that would emerge in the next ten years, at least, so that the local banking sector remains on par with global standards, the Central Bank said.
 Central Bank Governor Ajith Nivard Cabraal yesterday asserted that it is time for financial sector stakeholders to reflect on the needs of the next decade and explore avenues as to how Sri Lanka should fashion its future as it moves forward.
A prerequisite to ensure the financial sector moves the economy towards a positive growth trajectory is the skilling, and re-skilling of  professionals in the industry, he said, pointing out the responsibility in that regard must be taken by the Institute of Banking Studies of Sri Lanka (IBSL).
The institution must serve the purpose of ensuring that the next generation of bankers will be equipped to take the country forward, added Cabraal addressing an event at IBSL yesterday.

As Sri Lanka has several ambitious goals for the economy, including moving to the next income level country classification, active efforts are needed to tweak or redesign the existing syllabi of the banking qualifications and training courses offered. The upgraded syllabi, that should serve as a tool to meet the developments of the future, must take into account the new types of transactions that could emerge and the legislations required to implement the same, the governor said.“We will have to take a futuristic view and then take the necessary steps to mold the new breed and the new generation in that direction,” stressed Cabraal.Even before the Covid-19 pandemic struck the world, the global banking industry was already undergoing rapid change. While in the previous decade branch footprints in developed nations were shrinking, in the developing nations online banking started to get increasingly popular.
A research carried out by McKinsey on ‘The Future of Work’ in 2021 suggested that almost all roles in bank branches will trim down over the next decade.The average branch size is projected to shrink from six full-time equivalents to four by 2030