“In the future, we will have banks capable of offering more digital services while ensuring the highest level of protection for customers\u2019 data\u2014an area in which new digital competitors still need to improve.” This was stated today by our adviser, Lorena Mullor, at the Orfin Forum session focused on banking services in the new operating environment. <\/p>\n
Among the main challenges for authorities, she said, is adapting regulation to the new context and creating a framework for data sharing across sectors, because leveraging non-financial data helps improve risk analysis and the offering of innovative banking products, increase competition, and reduce the current asymmetry in which a small number of large companies accumulate most user data.<\/p>\n
“We are such a highly regulated sector that we cannot efficiently undertake the entire process of adopting new technologies unless we work hand in hand with the authorities,” said our digital expert in her remarks.<\/p>\n
“It is not about less regulation,” she explained, “but about rethinking the current framework so that innovation is fostered, services are provided on a level playing field, and it is ensured that there is no harm to banking consumers. New players must have regulation similar to that of banks.”<\/p>\n
Our digital banking adviser noted that big tech companies, which may become providers of systemically important financial services, must fall within the regulatory and supervisory perimeter to ensure adequate consumer protection for products and services, and to monitor the new risks they may create.<\/p>\n
Lorena Mullor emphasized that banks ensure customer care and service regardless of their level of digitalization\u2014something the large technology companies that have entered the most profitable segments of banking service provision do not do.<\/p>\n
In this regard, she recalled the banking sector\u2019s efforts to ensure, through its extensive branch network, service for residents in areas affected by depopulation that lack basic services such as a school, medical services, or a pharmacy. “Spain has the highest branch density per capita in Europe,” she said. <\/p>\n