POSB Catches Up on Digitalisation
State owned POSB said it is in the process of digitising the bank in line with sector trends and a way to remain competitive in the banking space.
Zimbabwe’s banking landscape has shifted since the cash crisis as industry and regulators sought for innovative ways to counter the challenge.
This has resulted in banks increasing innovation through technology such as POS, ATMs and mobile banking. The regulator has in turn lowered charges in respect with fee and commission income thus increasing the usage of IT based platforms.
At an AGM in Harare on Wednesday POSB said strides are being made cautiously to invest in the digital space but noted that the bank will maintain existing branches to suit the preference of existing customers.
Addressing the AGM today the CE Addmore Kandlela said the bank is pursuing a business reengineering process with a view to automate a large part of the bank’s process.
The automation will allow for further cost containment and together with adoption of 4th generation technology such as Artificial Intelligence, will help improve the bank’s appeal notably to millennials.
The bank spent upwards of $220k in 2017 on a move to upgrade systems to meet the changing environment and a huge customer base.
All banks in Zimbabwe are however trekking a similar path with some already having made significant strides. FBC has said it is going fully digital while Steward bank has invested significant amounts in the area of IT to support its vast fee and commission income business.
Other banks have also upgraded core banking systems as a way to grow in that respective space.
Unlike other banks such as Stanchart which are rationalising branches, POSB said it is acquiring properties for purposes of maintaining and expanding network arguing that the composition of its client base prefers the later.
3 branches have since been acquired in the first half of the year and these are located in Mutoko, Beitbridge and Kadoma.