COVID-19 continues to test the resilience of the financial services industry.
The latest IDC Financial Insights’ COVID-19 impact survey identified unique characteristics that will enable the accelerated recovery of Asian financial services. This includes well capitalized structures; ability to use technology for frequent stress-testing; and established business (and fiscal) continuity measures to minimize business disruption.
IDC estimates that Asian financial services technology spending will reach US$66.6 billion by the end of 2020, a 5.2% increase from US$63.3 billion in 2019.
Cyrus Daruwala, managing director at IDC Financial Insights Asia/Pacific, is optimistic that the COVID-19 crisis will pass although uncertainties remain as to who will come out on top, and everyone else.
“All of this will depend on the firm’s digital maturity, their ability to respond quickly with a new partner and data ecosystems, and firm board-level support to truly turn the organization from a financial intermediary to a new life-style partner,” said Daruwala.
