SIBOS 2019: 'New innovation' now takes up a third of Standard Chartered’s technology spend

September 24, 2019 | Innovation

Written by FinTech Alliance

SIBOS 2019: 'New innovation' now takes up a third of Standard Chartered’s technology spend

At SIBOS, Standard Chartered CEO Bill Winters told Reuters’ Carmel Crimmins how technology  spending has changed at the bank.

In Brief:

  • A huge part of Standard Chartered’s digital strategy is its desire to thrive across 65 different markets.

  • Four years ago, the bank spent $650mn in new technology investments with 90% ‘defensive’ spending such as compliance.

  • Last year, it spent $1.6bn, with a larger share on strategy and brand new segments.

What does this mean?

Rather than just keeping the lights on, banks must now commit their technology spending to getting ahead of the game. Winters commented that since the bank has a large digital offering across 65 different markets, Standard Chartered “must value our network”. “The nature of a network is bringing people together. At its core we’re connecting buyers to sellers of products, movers of money… all of which have two sides to the transaction and we’re the ones in the middle,” he explained.

Of last year’s $1.6bn technology spend, the company spent “the entire increase, and some of the base” on strategic elements that improved quality of service, as well as new markets and segments.

Winters also stressed the importance of partnership in being an innovative, digitally-led bank. “Nobody is big enough to conquer this market by themselves,” he commented. “For us to satisfy the needs of our clients… we will have to continue to develop technologies and mechanisms in partnership with other people… whether that comes in the form of fintech partners, whether it comes in the form of clients… we try to do as much as we can to offer an open platform ”

The proportion of the bank’s annual spend put toward technology is only set to increase – as will the proportion of technology spend that goes on innovation. A little over a third is currently spent on “new innovation” and another third goes on innovating ways to make current services better.

More in Innovation

Mastercard Covid-19 accelerator offers $20mn grants
Innovation
April 02, 2020

Mastercard Covid-19 accelerator offers $20mn grants

The Covid-19 Therapeutics Accelerator has announced the recipients of a total of $20mn. In Brief...

Bank ABC Wins Most Innovative Arab Bank of the Year award

Posted By The Community

Innovation
October 05, 2019

Bank ABC Wins Most Innovative Arab Bank of the Year award

MENA’s leading international Bank recognized for leading industry change and embracing digital disru...

Written By: Bank ABC

SIBOS: thriving in a hyperconnected world
Innovation
October 02, 2019

SIBOS: thriving in a hyperconnected world

Organised by payments giant SWIFT, Sibos is the world’s premier banking conference attracting...

Innovation
May 13, 2020

Finance and the future of IT Funding innovation at the speed of agile

IT and finance leaders are increasingly working together to innovate and operate at the speed of agi...

Innovation
December 20, 2019

Fjord Trends 2020: Emerging Trends in Business, Tech and Design

In brief Capitalism is evolving. People are becoming increasingly conscious and hyper-aware of...

Innovation
December 20, 2019

Understanding the strategic and regulatory risks of artificial intelligence in financial services

World Economic Forum and Deloitte explore the risks inherent in deploying artificial intelligence in...

There are no Events in this category