Three formidable forces - a weak global economy, digitization and regulation - threaten to significantly lower profits for the global banking industry over the next three years, according to McKinsey's newly-published 2016 Global Banking Annual Review, entitled A Brave New World for Global Banking. Developed market banks, with $90 billion or 25% of profits at risk, are most affected, but emerging market banks are also vulnerable, especially to the credit cycle. To counter these forces, most banks will need to undertake a fundamental transformation centered on resilience, reorientation and renewal.
A Brave New World for Global Banking: McKinsey Global Banking Annual Review 2016
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