Digital transformation of the Russian banking sector: Opportunities and risks

Abstract

Subject. The article investigates the process of digital transformation of the Russian banking sector. Objectives. The purpose of the study is to assess the current state of digital transformation of the Russian banking sector. Methods. The study draws on traditional methods of scientific knowledge (analysis and synthesis, analogy, generalization, combination of historical and logical, etc.). To determine the current state of digital transformation in the Russian banking sector, I used the analytical materials from KMDA, digital audit agency SDI360, and National Agency for Financial Studies. Results. The study revealed the essence of the category “digital transformation of banks” and substantiated potential opportunities and risks of digital transformation of the Russian banking sector. I reviewed and analyzed current trends in the development of digitalization processes in the Russian banking sector, considered positions of leading Russian banks in the ranking, according to the level of business digitalization. Conclusions. The banking sector is a leader in implementing digital transformation, and the use of digital innovative technologies is a dominant trend. The findings will enable to improve the efficiency of digital transformation of banks’ business models, and, as a result, the competitiveness of credit institutions in the market.