Digital Transformation of Banking and Sustainable Development

Abstract

The rapid advancement in digital technologies worldwide have led to the intensification of digital transformation of banking which requires improvements in the existing business models by creating new financial technologies and plays a very important role in the sustainability of any industry by creating a sustainable environment through inculcating social, environmental, and ethical considerations in its operations. The banking sector must strive to be competitive and provide customized and personalized services under banking 5.0. which is born out of industry 5.0 and works with collaboration of human and robots for sustainable development of banking. The current study aimed to provide a conceptual framework of digital transformation of banking for sustainable development under banking 5.0, which is elaborated through literature review and also to provide a comprehensive overview of various opportunities and challenges before banking 5.0 to achieve sustainable development and finally the initiatives taken by government to overcome these challenges are discussed.