Executive Summary

AS THE BANKING INDUSTRY UNDERGOES RAPID DIGITAL TRANSFORMATION, the demand for digital skills has surged, revealing a significant gap in workforce readiness, particularly in the Middle East and Africa (MEA) region. This report offers a comprehensive analysis of the current state of digital skills in the banking sector and provides strategic guidance for addressing the digital talent gap.

Key insights from the report include:

• Urgency of Digital Transformation: The banking industry, particularly retail banking, is facing unprecedented disruption from fintech startups and Bigtech firms. Despite significant investments in technology, many banks in the MEA region are lagging in the digital skills necessary to support these transformations. The report highlights the urgent need for banks to not only invest in technology but also in building a digitally proficient workforce.
• Workforce Digital Skills Readiness: Based on an extensive survey across 18 countries and 18 industry sectors, the report reveals that the financial services sector, particularly in the MEA region, is trailing behind other industries such as ICT, media, and professional services in terms of digital skills readiness. The survey also shows that digital leader banks—those who have successfully bridged the digital skills gap—have significantly higher workforce readiness compared to their lagging counterparts.
• Lessons from Digital Leaders: The report draws lessons from banks that have emerged as digital leaders, demonstrating how they have successfully navigated the challenges of digital transformation. These banks have not only recruited digitally skilled employees but have also prioritized the reskilling and upskilling of their existing workforce. The report provides case studies, including the DBS Bank Academy and Westpac’s strategic workforce management approach, showcasing effective strategies for building a digital-ready workforce.
• Strategic Workforce Management: To close the digital talent gap, the report emphasizes the importance of a holistic approach to workforce management. This includes strategic planning, creative recruitment, continuous training, and leadership development. Banks that integrate these practices into their overall business strategy are better positioned to attract, retain, and develop the digital talent necessary for their transformation efforts.
• Policy Recommendations: The report also provides guidance for policymakers, highlighting the need for collaboration between industry players and government to create a supportive environment for workforce digitalization. The example of the Monetary Authority of Singapore’s digital transformation agenda serves as a model for how governments can play a crucial role in accelerating digital skills development across the banking industry.

This report is a vital resource for banking executives, HR leaders, and policymakers who are committed to closing the digital skills gap and ensuring the successful digital transformation of their organizations. By adopting the strategies and lessons outlined in this report, banks in the MEA region can build a future-ready workforce that is equipped to thrive in the digital economy.

(See sidebar: “Survey Methodology” for further details.)

See if our Digital Transformation Program Consulting Practice can help you.

See if our Digital Transformation Program Consulting Practice can help you.