2019 was a successful year for the fintech sector. Many start-ups have increased their valuations and customer bases. They have successfully entered new markets and developed innovative services, taking over the revenues of traditional players.
The scale of the boom in the access to banking services via mobile devices is well illustrated by an analysis of the growth rate of the number of users, which amounted to 33 per cent on average in 2014-2019. At the end of Q3’19, 13 million people in Poland used mobile banking.
A new instrument has been developed in Poland, which allows tracking the price of money in fixed-term transactions. The Financing Cost Index could become a tool of everyday use. The average daily transactions in this tool reaches 1,400 and their combined value is EUR20m per day.
The growing role of the Polish retail financial services, both for the providers and for customers, has been even too evident in recent years. There is a lot going on this market: fintechs are emerging, banks are consolidating, loans or insurance policies are increasingly sold online.
Generation X, or people born between 1965 and 1980, entered adulthood not only in a time of important political transformations in Central and Southeast Europe (CSE), but also in times of great technological changes in the world.
Technology companies such as Alibaba, Amazon, Facebook, Google (or more precisely its mother company, Alphabet) and Tencent started providing financial services. That generates potential economies of scale.
One of China’s largest state-owned banks, the Bank of China, opened a new branch in the Romanian capital of Bucharest. The new European branch is expected to help financing China-EU connectivity projects.
In the middle of October 2019, Velvon Bank, the sister company of the Czech online bank Air Bank, announced that it had been granted a German banking license. Velvon chose Munich as the seat for its German operations.
Sberbank, Russian largest bank, made a pilot blockchain transaction. Under the leadership of the former economy minister Herman Gref, Sberbank has been focusing on blockchain technology for nearly two years.