The development of digital solutions eliminates the need to build a wide physical branch network.
The tendency to decrease the number of physical branches is observed not only in Bulgaria, but also in other countries of the world. This is stated by Nikola Bakalov, member of the Board of Directors of ABB and CEO of First Investment Bank AD in the newsletter of the Association of Banks in Bulgaria.
According to him, however, it is still too early to talk about the complete disappearance of bank offices, although we have examples of completely digital banks without a physical presence. They show that the banking sector already has the necessary technology for this to happen, but the big question here is how ready the customers themselves are for this change.
My view is that a significant part of them are not and for certain operations they still require personal contact with a bank employee. This group will decrease with time and the development of digitalization in all spheres of our life, but it will take tens of years before its complete disappearance, explains Bakalov.
And he adds that it is still too early to talk about the disappearance of bank offices, but it is clear that in the next decade they will be greatly reduced and their burden in communicating with customers will be reduced. At the same time, the opportunities they will offer, such as financial services and professional consultation to clients, will be much greater, writes Pariteni.bg.
2023-10-19 11:38:22
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