CFT in TOP 3 Major Bank IT Vendors
CNews Analytics agency has published its annual review ”IT in Banks and Insurance Companies”, which includes a rating of major bank IT vendors. The rating is based on the results of the activity of market participants in 2018. Center of Financial Technologies remained second in the rating of Russia’s major IT developers.
Based on 2018, the total revenue of the 50 largest vendors of IT solutions for financial companies made ₽192.8 bln. As compared to 2017, it increased only by 9%. Market participants associate this trend with a reduction in the number of potential customers as a result of the actions of the regulatory authority, and with the cyclical nature of project implementation.
By the end of 2018, 76 credit institutions have left the market, and according to the results of the first six months of 2019, another 30 banks have ceased their operations. In total, since 2013 the number of financial institutions has more than halved: from 965 in January 2013 to 454 in October 2019.
The market dynamics in 2019-2020 will be determined by several trends. Firstly, there is a slowdown in positive trends in the financial industry and associated budget optimization. The second factor is the need to upgrade existing systems and integrate IT infrastructure through mergers and acquisitions. The third point is compliance with the regulatory requirements regarding information security and implementation of industry projects of the CBR. And the fourth trend is the growing competition in the banking market, which requires the introduction of new tools for interacting with customers.