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A Radical Shift Toward "Agentic AI" and Phasing Out Traditional Roles

The banking sector is heading toward a new era that could render many traditional positions redundant in the coming years, reinforcing the urgent need to reskill human talent to adapt. According to futurist and author Brett King, required banking skills will shift dramatically toward "agentic operations." He emphasized that banks will integrate vast numbers of AI agents over the next decade, necessitating a structural shift from human-driven operations to fully tech-enabled models.

Workforce Reductions and Declining Reliance on Human Capital

These forecasts arrive amid growing concerns over job losses across multiple industries. JPMorgan Chase has already reduced workforce numbers by up to 40% in certain departments due to advanced technologies, while allocating billions to tech investments. King noted that major banks could see their headcounts shrink from hundreds of thousands to just a few thousand by the 2040s, given that nearly 99% of banking operations can be fully automated—making human intervention a bottleneck for operational speed.

Cost Reductions and Enhanced Financial Inclusion

This technology is expected to boost bank profitability while sharply lowering operational overhead. For the Middle East and North Africa (MENA) region, these shifts promise a positive impact on financial inclusion: lower service costs and dramatically improved accessibility will grant middle-income individuals access to private-banking-style capabilities powered by AI.

Tailored Banking Models and Global Competitiveness

Hischam El Agamy, Executive Director at IMD Business School, stressed that the MENA region must build unique banking models tailored to its youthful demographics rather than replicating Western frameworks. On the competitiveness front, the UAE maintained its regional leadership and secured 5th place globally in the IMD World Competitiveness Ranking, leading in metrics such as economic performance and government policy adaptability, alongside strong performances from Gulf peers including Qatar, Saudi Arabia, Bahrain, Oman, and Kuwait.