We spoke to senior figures from the likes of AWS, Google, GFT, and 10x Banking to get their take on how the financial services industry will change in 2025.
They told us the future of banking lies in overcoming legacy system constraints, using generative AI for faster, cheaper migrations, and addressing customer demands for real-time, personalized experiences. There is an opportunity for emerging markets like Africa to leapfrog traditional banking models, using AI to innovate faster than more developed regions.
More than ever, we find ourselves in a dynamic and evolving sector. Read on for a summary of all the insights we gathered or check out the full PDF here.
The banking industry is facing a monumental challenge: the need to modernize technology stacks while reducing operational costs and improving customer service.
Antony Jenkins Founder & CEO at 10x BankingThe convergence of generative AI (Gen AI) and technology migration offers a promising solution—one that can streamline the transition to more efficient, real-time, and customer-focused banking platforms. One of the most compelling advantages of Gen AI is its ability to analyze and decode the complexities of legacy systems, creating migration paths and validating them with greater accuracy and affordability. The partnership between 10x and DLT Apps highlights this potential, showcasing how AI-driven tools can help banks overcome the often-overwhelming task of upgrading or replacing outdated systems.
A major roadblock for AI adoption in banks is the lack of clean, integrated, and real-time data. Without it, the potential of generative AI to revolutionize banking operations remains largely untapped.
Cybersecurity remains critical due to increasingly sophisticated threats from AI-augmented attacks and ransomware campaigns.
Katherine Yeung Chief Risk Officer at 10x BankingHigh-profile attacks highlight the need to protect sensitive customer data to maintain trust. Key regulations such as the UK's Cyber Security and Resilience Bill, the EU's DORA, Australia's Cyber Security Act, and South Africa's Joint Standard on Cybersecurity will come into force in 2025, with additional cybersecurity bills expected to be introduced in 2026.
Globally, 2025 will see intensified focus on consumer protection, emphasizing enhanced transparency, fair treatment, and robust data security measures to build trust. And Robust AI governance will also be a key regulatory trend.
Core transformation holds the potential to redefine corporate banking by upgrading legacy systems to modern, flexible digital platforms.
Alpesh Tailor Executive Director at GFTCorporate banking has long trailed behind retail and SME segments in digital innovation, largely due to the complexity of its core systems and the interdependence on outdated, monolithic architectures. Yet tides are beginning to turn, and a raising wave of transformation is building up. With new-generation core banking systems, banks can streamline operations, enabling faster transactions, real-time data visibility, and improved risk and compliance management.
This is not just about efficiency.
Anil Saboo Director, Global Industry ISV Partnerships at Google2025 is about fundamentally changing the relationship between customers and their banks. AI will empower customers with unprecedented control, transparency, and personalized attention, ushering in a new era of financial empowerment. Banks that fail to embrace this transformation risk being left behind.
The road ahead: a critical shift for banks
In conclusion, the path toward technology stack migration for banks is clear: the future lies in AI-driven modernization. While many banks are still in the early stages of integrating AI into their core operations, the potential benefits of migration—lower costs, improved customer service, and enhanced competitiveness—are undeniable. However, to fully unlock these advantages, banks must ensure that their data is ready for AI applications, which will require significant investment in data integration and cleaning efforts. As customer expectations evolve and financial pressures mount, the shift toward real-time, AI-powered banking will be essential for survival.
For banks in high-growth regions like APAC and Africa, this shift presents a unique opportunity to leapfrog their more established counterparts, leveraging modern technology to deliver customer-centric services that drive both societal and economic progress.
The race to modernize is on, and banks that embrace AI-driven transformation will be the ones best positioned to thrive in the future of banking.
