Let me now look ahead and flag a few important issues in the use of technology in banking and how it can be an aid to value creation. 22. The deepening of the use of technology in banking requires that it be accompanied by good “IT governance” which is a sub-set of good corporate governance.
Banks must put in place robust risk management systems encompassing effective infrastructure, security policies, incident reporting and business continuity management. Also, these management systems must be subject to regular review and monitoring. Needless to say, as businesses expand, the risk from a failure in IT systems expands disproportionately faster, reinforcing the need for good IT governance.