Technology and Strategic Challenges in The Era of Digital Banking Tursunov Rafigali Burgutovich

Аннотация

In recent years, the banking sector has undergone a large-scale digital transformation. The development of digital technologies, changing customer needs and increasing competition are shifting traditional banking systems towards digital models. This article analyzes the main trends, technological trends and strategic challenges of digital banking on a global and national scale. In particular, the expansion of mobile and online banking services, the emergence of neobanks, the principles of open banking, the role of artificial intelligence and blockchain technologies in banking practice will be highlighted. At the same time, the strategic challenges faced by banks will be discussed – cybersecurity, regulatory compliance, human resources, maintaining customer trust. The article also examines the state of digital transformation in the banking sector of Uzbekistan, the experience of cooperation with fintech companies and the achievements and challenges of the transition to the digital economy. The summary of the article emphasizes the need for recommendations for the successful digital transformation of banks, namely the need for rapid implementation of technological innovations, security and customer-oriented approaches. Keywords: Digital Banking, Fintech, Artificial Intelligence, Open Banking, Cybersecurity. to simplify the internal work processes of banks. Also, Introduction: The global challenge facing higher as a result of the emergence of fintech companies and education institutions today is to increase access to increased competition, banks are forced to introduce higher education for all segments of the population. new technologies. The role of higher education institutions is changing along with the situation in the labor market, and the The digital banking system is based not only on situation is such that education is becoming more providing modern services, but also on advanced important than ever. As the need for professional skills solutions such as artificial intelligence, blockchain, is growing rapidly, the need to strengthen the cloud technologies and big data analytics. At the same connection between business and universities is time, the digital transformation process also poses a growing exponentially. The global talent shortage is number of strategic challenges for banks. For example, growing, and educational institutions and businesses - problems such as cybersecurity, compliance with employers around the world - need to partner to regulatory requirements, maintaining customer trust, remain profitable. This partnership between and the lack of qualified personnel are among the universities and employers aims to equip students with pressing issues in the banking sector today. skills that are useful for employment. This article provides an in-depth analysis of the main Over the past decade, the development of digital trends, technological solutions, and strategic technologies has had a profound impact on the challenges of digital banking at the global and regional financial sector, in particular the banking system. (Uzbekistan) levels, and provides recommendations for Traditional banking services are gradually being future development directions. replaced by mobile and online platforms. The process The future of digital banking in MEA The MEA region is of digital banking not only allows customers to receive full of ambition when it comes to digital banking. And convenient, fast and individual service, but also serves for good reason. From an increasingly tech-savvy International Journal of Management and Economics Fundamental 22 https://theusajournals.com/index.php/ijmef International Journal of Management and Economics Fundamental (ISSN: 2771-2257) population to the region’s digitally forward-thinking identifying problems and developing mechanisms for banks, there is plenty of reason for optimism. However, their effective solution is scientifically and practically banks looking to capitalize on the changing landscape relevant. need to think carefully with strategies to stay ahead of The purpose of the study the competition. As this study highlights, there are a The main goal of this study is to conduct an in-depth number of different areas that are critical for banks to analysis of emerging technological innovations and move forward, including a robust regulatory strategic issues in digital banking systems, determine framework, improving customer experience, and their impact on banking activities, and develop leveraging AI technologies to find the right talent. To proposals for effective solutions to existing problems succeed in today’s competitive and ever-changing [8]. marketplace, banks need to partner with experienced industry players who can accompany them on their The research includes the following tasks: digital transformation journey. With over 50 years of 1. Clarifying the concept of digital banks and experience, we have helped hundreds of banks in the explaining their differences f