Inequality is currently one of the main concerns worldwide. Academics do not agree on why it is increasing and fear consequences ranging from declining trust in the system and social erosion to slower, more fragile economic growth. Inequality, they also warn, can become entrenched over time by reducing opportunities for individuals’ development and generating poverty. We must all fight inequality. Banks can play a relevant role in combating it by financing sustainable development and promoting people’s prosperity so they can build a better future. The prosperity of customers, who are at the heart of banks’ strategies, also underpins their business success.
Technological development in its digital dimension can be a useful tool in the fight against inequality. Digital penetration in the financial world increases social inclusion in countries without a developed banking sector. Elsewhere, it can facilitate society’s financial education and strengthen the transparency of banking operations, which helps increase the likelihood of customers making successful decisions and supports their future planning. The digital transformation in which banks are currently immersed has the customer as its main beneficiary.
The digitalisation of the economy and society is an unstoppable process. At this point, there are few sceptics who doubt the changes or question the benefits arising from the digital revolution. Digitalisation contributes to economic growth by breaking down barriers between activities and broadening the range of possibilities for companies, generating a knock-on effect in efficiency at both business and international levels. We must all adapt to a world increasingly dominated by the automation of work models and ensure both the investment and the training needed to meet the scale of change. Children and adults need an adapted education that prepares us to make the most of the benefits and opportunities of the new digital era.
Banks’ responsibility is to finance all the investments society needs to adapt to, and even anticipate, the challenges of the new times. Their aim is to provide well-targeted financing that combines achieving the necessary profitability that ensures their stability with contributing to social progress and development. Positive innovation in finance seeks social returns alongside economic returns. It also includes the effort undertaken by banks in the financial digital transformation that customers demand and that brings significant benefits for social inclusion. The Principles for Responsible Banking, announced in Paris last November and to which AEB has adhered, represent a sector commitment that is not driven by regulatory authorities. They embody our contribution to achieving a better society.
