Banks still bear weight of regulation in seeking innovation

BANKS have held back from fully exploiting data in the way that startups have, because of regulatory constraints, said participants at a Sibos 2015 panel discussion on Monday.

But fintech executives - who literally sat at the other side of the room - suggested that banks have been ineffective in finding solutions to meet increasing demands of customers.

"I haven't heard anything innovating, to be honest," said Alexander-Graubner-Muller, founder of Kreditech, a fintech that disburses loans based on Big Data credit assessment. His company was started because banks have a "painful" process to apply for a loan. "It's hard to explain why this is necessary for credit," he told a packed auditorium.