Middle East and North African banking and securities companies will spend nearly $13.2bn on IT products and services in 2014, an increase of 2.7% over 2013 revenue of nearly $12.8bn, reveals a report by Gartner.

This projection comprises spending by banking organizations on internal IT services, such as personnel, IT services, software, data center technologies, devices and telecom services.

The report further highlights that the telecom services will be the largest segment in overall IT spending in the banking and securities market at $5.7bn during 2014, and will grow at a rate of 0.6% compared to 2013.

The study forecasts that software and IT services are the fastest growing segments with 9.2% and 8.4% increases in 2014, mainly attributed to the expansion strategies of banks across the region and for modernization and replacement projects of the back-office.

Gartner research director Vittorio D’Orazio said: "The outsourcing of IT, as well as business processes, have become more common across some Gulf countries.

"Business process outsourcing (BPO) is expected to have a strong growth at 12.6 percent in 2014, while IT outsourcing is forecast to increase 8.5 percent from year.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

"Software spending is being driven by the replacement trend of back-office systems, especially from the larger banks, while newer banks are being created from the scratch which opens a lot of new opportunities for IT vendors."