By Mark Sutton
Adoption of e-banking offerings is faster among the region's Internet users than it among US Internet users, according to a report from Pyramid Research.
E-banking in the Middle East is being taken up faster than in the US, according to research from Pyramid, a division of the Economist Intelligence Unit. The study found that although only 18 of the region’s largest banks are offering e-banking, adoption rates are higher than in the US in several countries in the region.
The study found that 29% of Internet users in Kuwait, and 21% in the UAE has signed up for online banking, compared to just 17% in the US. Bahrain also had 17% adoption, with 14% of Middle East internet users overall registered for e-banking.
The research indicated that it is the largest banks that are offering e-banking so far. 18% of banks were offering online transactions, a further 43% have informational websites, leaving 39% yet to go online. The banks with transactional capabilities have an average asset value of $8.3 billion, compared to $4.2 billion for those without.
There is concern among some observers that if Middle East banks do not start offering services then they will lose custom to the west.For all the latest business news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.