The financial sector is undergoing a profound transformation to adapt to a landscape where digital transactions, instant payments, and international transfers are now part of everyday life. At the same time, geopolitical uncertainty is driving rapid regulatory evolution, intensifying demands for privacy and security.
A study by Kyndryl reveals that 91% of industry leaders are confident in the state of their IT infrastructure. However, 45% admit that many of their tools and processes are nearing the end of their life cycle, and only 41% claim to be fully prepared to face future risks.
In this context, the priorities for banking in 2025 will be:
- Updating legacy systems: This will not only reduce costs and technical debt but also enable institutions to compete more effectively with fintechs and neobanks.
- Adopting AI to strengthen cybersecurityCybersecurity solutions are essential in the era of … and compliance: Generative AI technologies will be utilized to detect suspicious activities and quickly update regulatory documents.
- Simplifying and modernizing payment systems: Companies will seek to unify tools to reduce costs and improve customer experience.
- Boosting the use of low-code and no-code platforms: Leading companies are betting on these types of platforms to accelerate their digital transformation, as they allow for the rapid and customized development of applications, thereby facilitating the management of hybrid environments and automating workflows. An example of this is digital banking and the creation of customized credit products.
Meanwhile, the insurance sector faces unprecedented challenges arising from inflation, supply chain disruptions, and the increasing impact of natural disasters. These dynamics force insurers to adjust costs and business models while grappling with the challenge of keeping their services accessible to clients and businesses.
According to the same study conducted by Kyndryl, 94% of insurance leaders trust their technological infrastructure. However, 56% indicate that many of their tools are outdated, and only 39% believe their infrastructure is ready to manage future risks.
With this focus, insurers will prioritize in 2025:
- Automating claims processes: AI will accelerate claims management and detect fraud more efficiently.
- Recruiting talent with technology and customer service expertise: This approach will help modernize processes and provide faster, more personalized service.
- Incorporating advanced climate data: Partnering with technology providers will facilitate the use of satellite and local information to manage climate risks more accurately.
- Enhancing generative AI: This technology will play a crucial role in predicting risks and protecting customer data.
Undoubtedly, technology will continue to be the engine of change in banking and insurance, allowing these industries to adapt to a constantly evolving environment. Kyndryl will continue to work alongside industry leaders to ensure they are prepared for the challenges and opportunities that 2025 presents. Kyndryl’s client portfolio includes Kutxabank, Unicaja, Cecabank, BPER Banca, Canara Bank Limited, Deutsche Bank, Alinma Bank, Bank of Cyprus, as well as insurers like Río Uruguay Seguros, Rimac Seguros, Interseguro, SulAmérica, among others. These partnerships are driving the modernization of technological infrastructures, enabling them to optimize operations, strengthen resilience, and quickly adapt to an increasingly digital and competitive market.