THE ROLE OF MODERN DIGITAL-TECHNOLOGIES IN THE FUNCTIONING OF THE BANKING SYSTEM

Abstract

The article comprehensively reveals the role of modern digitalization technologies in the development of the banking system. The main factors influencing the digitalization process are identified: concept formation; personnel; outdated technology. The necessity of using digital technologies in banking activity, which consists in the general improvement of customer service, is substantiated; reducing the bank's operating costs, speeding up banking operations and increasing the bank's competitiveness. Digital banking, overcoming the spatio-temporal barriers to economic activity, provides online access to financial services and the realization of the growing financial needs of the client without the actual physical access to the banking institution through remote identification. It is noted that the main measures to optimize the costs of a financial institution can be considered automation and optimization of business processes. The use of advanced technologies in customer service will allow the bank to rationally allocate its resources, minimize costs, improve customer service and improve the quality of banking services. Areas of introduction of information technology in banking are systematized on several grounds, namely: the creation of corporate computer systems; sale of banking services on the Internet; development of intrabank management system and their automation. With the growing impact of digitalization technologies on the development of banking, it is inevitable to reduce the staff of banks, change their professional composition, new modern requirements for their knowledge, skills and abilities. A brief retrospective analysis of the development of Internet banking in Ukraine has been made. It is noted that the costs of each of the banks for the development and technical equipment of Internet banking amounted to about $ 1 million. The main advantages and disadvantages of Internet banking are considered. Digitalization of banking institutions has a significant correlation with research and development in the field of IT. The availability of qualified personnel has a significant impact on the development of bank digitalization. Currently, Privatbank, Raiffeisen Bank Aval and OTP Bank are the most actively implementing digitalization in Ukraine.