Home / / MENA banking and securities firms IT spend in modest 2016 growth: Gartner

MENA banking and securities firms IT spend in modest 2016 growth: Gartner

Brand new initiatives will be selectively launched this year, research firm says

Software spending will record the fastest growth rate of more than nine percent.
Software spending will record the fastest growth rate of more than nine percent.

IT spending by banking and securities firms in the Middle East and North Africa (MENA) will be approximately $12.5 billion in 2016, a 2.4 percent increase over 2015, according to Gartner.

This forecast includes spending on internal IT services (including personnel), IT services, software, data centre technologies, devices and telecom services.

Software spending continues to have the fastest growth rate at 9.3 percent in 2016, followed by internal services at 4.7 percent. Banks are increasingly availing of advanced analytics across their business, while investments to enhance and strengthen digital channels continue moderately. Banks are enhancing their front-office solutions to empower the employees as well.

“IT spending increases moderately in 2016, dampened by the low oil prices. Investments for high-priority programs in flight continue, while brand new initiatives will be selectively launched in 2016,” said Rajesh Kandaswamy, research director at Gartner.