Assessing Digital Transformation Strategies in Retail Banks: A Global Perspective

This paper presents a PRISMA-guided systematic literature review (2015–2025) of 20 empirical studies on digital transformation in retail banking, examining how artificial intelligence (AI) strengthens cybersecurity, enables FinTech collaboration through interoperable APIs and open-banking infrastructures, and embeds data-driven decision-making across core functions. We searched major databases, applied predefined eligibility criteria, appraised study quality, and coded outcomes related to digital adoption, operational resilience, and customer experience. The synthesis indicates that AI-enabled controls and API-mediated partnerships are consistently associated with higher digital-maturity indicators, conditional on robust model-risk governance and prudent third-party/outsourcing management. Benefits span improved customer experience, efficiency, and inclusion; however, legacy systems, regulatory fragmentation, cyber threats, and organizational resistance remain binding constraints. We propose a unified framework linking technology choices, regulatory design, and organizational outcomes, and distill actionable guidance for policymakers (e.g., interoperable standards, proportional AI governance, sector-wide cyber resilience) and bank managers (sequencing AI use cases, risk controls, and partnership models). Future research should assess emerging technologies—including quantum-safe security and central bank digital currencies (CBDCs)—and their implications for digital-banking stability and trust.

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Publication Details

Journal
Journal of risk and financial management
Published
2025-12-12
DOI
https://doi.org/10.3390/jrfm18120710
Citations
1
Primary Topic
FinTech, Crowdfunding, Digital Finance
Type
article
Field-Weighted Citation Impact
2.28
Controls
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article

Assessing Digital Transformation Strategies in Retail Banks: A Global Perspective

Dalal Aassouli, Bothaina Alsobai
1 citations
Journal of risk and financial management
FinTech, Crowdfunding, Digital Finance
2.28
article

Assessing Digital Transformation Strategies in Retail Banks: A Global Perspective

Dalal Aassouli, Bothaina Alsobai
article en
1 citations

Abstract

This paper presents a PRISMA-guided systematic literature review (2015–2025) of 20 empirical studies on digital transformation in retail banking, examining how artificial intelligence (AI) strengthens cybersecurity, enables FinTech collaboration through interoperable APIs and open-banking infrastructures, and embeds data-driven decision-making across core functions. We searched major databases, applied predefined eligibility criteria, appraised study quality, and coded outcomes related to digital adoption, operational resilience, and customer experience. The synthesis indicates that AI-enabled controls and API-mediated partnerships are consistently associated with higher digital-maturity indicators, conditional on robust model-risk governance and prudent third-party/outsourcing management. Benefits span improved customer experience, efficiency, and inclusion; however, legacy systems, regulatory fragmentation, cyber threats, and organizational resistance remain binding constraints. We propose a unified framework linking technology choices, regulatory design, and organizational outcomes, and distill actionable guidance for policymakers (e.g., interoperable standards, proportional AI governance, sector-wide cyber resilience) and bank managers (sequencing AI use cases, risk controls, and partnership models). Future research should assess emerging technologies—including quantum-safe security and central bank digital currencies (CBDCs)—and their implications for digital-banking stability and trust.

Journal of risk and financial managementVol. 18(12)
Hamad bin Khalifa University (QA)
Openalex Percentile: Top 8%
FinTech, Crowdfunding, Digital Finance
2.28
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