A new report has stated that digital assistants, social media along with other third party channels are expected to become primary banking channels by 2022.

The report, which is in its tenth year, was launched by Infosys Finacle, a part of EdgeVerve Systems and Efma, a global not-for-profit organisation.

The latest edition assesses a decade of banking innovation and predicts changes in banking industry by 2022.

More than 300 banks participated in this study which found that most of the respondents see Open Banking APIs to drive innovation.

Infosys Finacle global head and chief business officer Sanat Rao said: “The 10th edition of the Innovation in Retail Banking report strongly illustrates the pace at which the traditional banking model is evolving.

“The need to invest in a solid platform strategy focused on business benefits and more compelling experiences for customers, employees and partners is central to remain competitive.

“This report will help banks sharpen their digital vision and benchmark their plans with the industry peers.”

According to the report, about 70% of the respondents believe that artificial intelligence (AI) will transform customer support by 2022.

Nearly half of the respondents also opined that around 40% of the current workload will be transferred to public cloud.

About 74% of the participant banks were also found to increase their investments in technology modernisation. The report also found that the bank’s legacy technology to be one of the top three barriers hindering innovation.

Efma CEO Vincent Bastid said: “In recent years, banking institutions have been facing disruption head-on, with advancements in customer service, personalisation and mobile applications through a combination of Open APIs, AI and machine learning.

“The 10th edition of this report highlights advancements made in the last decade but also predicts a dramatic transformation in payments, mobile wallets and lending.”