Question

The problems of competition in banking institution

Answer 1

Problem # 5. Competition from Non-Banking Financial Institution: As far as deposit mobilisation is concerned, commercial banks have been facing stiff challenges from non-banking financial intermediaries such as mutual funds, housing finance corporations, leasing and investment companies.

Answer 2

Increasing competition from financial technology companies. ... This creates a big challenge for traditional banks because they are not able to adjust quickly to the changes – not just in technology, but also in operations, culture, and other facets of the industry.