Banking Innovations as a Way to Optimize Activities of a Credit Institution

The growing dynamics of technology development in all areas of the economy at the present stage of development often lead to the fact that their implementation takes longer than the development of the technology itself. In practice, this means that it is necessary not only to evaluate the effectiveness of their application, but also the likelihood of new trends emerging. One of the most vulnerable economic sectors in this context is the banking sector. The article provides an analysis of already existing banking innovations, in particular, their possible classification, and also evaluates the evolution of their appearance. This procedure allowed us to make an attempt to assess the main possible directions for the development of banking innovations. Under their influence, the modern classical banking system is becoming a thing of the past. It is being replaced by a symbiosis of the latest achievements in the field of technology based on the foundation of the credit market. Based on this, the authors present a model of a future generation banking organization. It is based on forecasting trends in the development of innovations and the extent of their penetration into the modern banking market. Artificial intelligence is considered the main favorite among modern innovations. Its emergence occurred relatively recently, but the speed of its influence on the banking market is increasing every day. Although the banking business is complex, it is a fairly structured and standardized type of activity. This fact, with a high probability, may cause the emergence of banking organizations that not only function entirely under the control of artificial intelligence, but were also originally created by it. The competitiveness of such banks can be significantly higher not only than classical credit institutions, but also the business models of modern neobanks.

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