Digital Technologies in the BiH Banking Industry – State and Perspective

Financial and technological innovations over the last several decades in the banking industry have underpinned the emergence of new business models, strategies, processes, products, and applications. Furthermore, new entrants into the banking sector, providing financial services, have changed the dominant operating business models and competitive dynamics of the banking industry. The main purpose of this paper is to explore and analyze the state and perspectives of digital technologies application adoption in the banking sector, with a specific focus on bank risk management and supply services. In the paper, key drivers, challenges and benefits of digital technologies/innovations, market participants as well as key application areas in the banking industry are identified. The primary source of data in the research was collected through a structured questionnaire. The target population in the research consists of all banks that operated in the territory of BiH at the end of September 2023. The scientific contribution of this paper is reflected in the fact that it represents one of the pioneering analyses of the state and perspective of the use of digital technologies in BiH banks. Finally, for further research, it will be useful to consider and analyze how the continued growth and subsequent adoption of digital technologies impact consumers’ satisfaction and overall perceptions of the technology.