Luxembourg has been a leading international banking centre since the early 1960s, able to keep its top position thanks to its “resilience and ability to rapidly comply with new regulations,” the study states. 

However, new technologies and changing customer behaviour are forcing ever greater change, meaning that traditional banks have been forced to rethink the way they interact with clients. The need to control costs and stay on top of compliance have never been so important.

The consulting firm stated:

“Defining new target operating models, adapting to a new operating environment or revamping existing procedures or processes, as well as reconsidering IT infrastructure, systems and applications are permanent challenges for banks operating in Luxembourg.”

44% of CEOs questioned in PwC’s 21st CEO Survey stated that they are clear about how robotics and artificial intelligence can improve the customer experience yet admit that attracting digital talent is notoriously hard for banks.