The increased usage of digital channels is equally having a bearing on financial crime. Customer expectations are showing new trends. Concurrently, as part of the banking evolutionary process, changes are happening on the front of climate change, FinTech, cloud-based services, digital banks and artificial intelligence to name a few. Supervisors should be able to navigate within the new confines of the banking environment.
They should be capable of reacting to the unexpected, and crafting adequate regulatory and supervisory responses. More importantly, they should be capable of striking, at the very first go, a near-perfect balance between the soundness of the financial system and sustaining economic activity. This is why, as forward-looking regulators, central banks have to fully embark on the digital journey.