Role of banking in the economy is vital as that drives the functioning of any economy. The importance of the banking sector in driving economic activities, credit provision, and deposit collection from people and states, businesses, and households is unquestionable. In all types of economies, banks play a fundamental role in the planning and execution of financial policies. The distinction prevails with prioritization of goals and the ways they achieve them. Realizing greater profitability serves as an end goal of major banks, although in the case of socialistic systems, the operations of banks focus on boosting the performance of economies while satisfying diverse social needs (Moukahal, 2015).
Banking Sector Size
Within the UAE, the banking sector plays a significant role in driving the economy. Banking industry fragmentation is in such manners that around 23 domestic and 28 foreign banks serve the region. The banks within the UAE mostly exist in Dubai and Abu Dhabi, which hold a significant share of the overall local assets.
News in Banking Sector of UAE
Within the UAE, the growing deposit levels within a competitive market as well as minimized access to international capital market and foreign debt, serve as the primary challenges fueling the UAE banking sector with resources for matching the ambitious country's development plans.
Why did you choose this industry for your topic?
I have chosen the banking industry within the UAE since I have over 13 years working experience within the sector. Therefore, I have sufficient understanding concerning the industry regarding its importance to the economy. Furthermore, the industry is promising in that it is subject to realizing growth and shaping the performance of the economy regarding growth as well as financial policy formulation.
Organization: Sharjah Islamic Bank
Sharjah Islamic Bank (SIB) serves as one of the major financial institutions and the biggest bank in Sharjah. SIB undertakes its operations as a publicly listed Islamic bank. The founding of the company was in 1975. The organization is committed to offering various financial services and products in an innovative manner while following the Sharia law of Islam to people, corporations, and SMEs in the UAE and beyond. It has a reputation of continued success established through offering customers unmatched satisfaction and service levels. The institution follows a visionary strategy, which allows it to uphold clear policies regarding cost control and risk management in diverse operational areas, thereby enabling it to diversify its products that meet different needs of customers. The various goods and services the bank provides are compliant with the Sharia law to match commercial, retail, investment, corporate, and international banking needs via its broad UAE network (SIB, 2016).
Type: Sib Publicly Listed Islamic Bank
SIB Service and Products
The major products and services that SIB deals with revolve around retail banking, corporate banking, investment banking, and real estate.
Sharjah Islamic Bank Branches Size of Activities
Presently, the bank has a fast-growing network of over 23 branches across the UAE, which gain support from the rising number of EDMs and ATMs situated in the popular and convenient shopping, business, as well as leisure destinations.
Why did you choose this company for your topic?
I have chosen the bank because it serves as one of the fastest-growing financial institutions in the UAE in terms of providing its customers with revolutionary products and services. I have also been working within the industry for over five years, meaning I have sufficient experience regarding the bank's operations and the various products and services it provides its customers in line with its growing importance in the economy. Furthermore, it is possible to gain access to the institution's data, which can depict its growth prospects and increase significance in the entire society. Additionally, it is feasible to witness a broad range of development opportunities within the institutions, which I can recommend and suggest to academicians, executives, managers, and policymakers.
Source: (Weiner & Partner, 2016)
Big data is playing a crucial role in providing future development opportunities for the banking sector, thereby creating a need for banking institutions to invest in the area. Big data revolves around consolidation of information depending on behavioral as well as other trends that human beings follow. In the case of SIB, it is possible to access the information via databases over long periods through implementing the Big Data concept. By collecting the data, they will manage to understand the anticipation and needs of their customers more efficiently. This way, it will manage to cope with the emerging trends and introduce changes that will allow it to boost its systems in ways that can enable it to relate to its customers in the future effectively (Martin, 2015).
Concerning the influence that big data will have on the operations of SIB, the study will adopt primary, quantitative, secondary, and qualitative research. Primary research will entail collecting original data after gaining insights concerning the big data issue through reviewing secondary research or through undertaking analysis concerning primary data. Secondary research will involve gathering data by other parties, including censuses, organizational records, and government departments. Qualitative research will employ collecting information in the form of unstructured interviews, open-ended questionnaires, informal observations, and interviews. Quantitative research will utilize surveys and observations, which will facilitate in quantifying categorized data into findings that will offer information concerning the study topic (Saunders, Lewis, & Thornhill, 2015).
Martin, A. (2015). How Big Data Changes the Banking Industry. Retrieved from https://www.cleverism.com/big-data-changes-banking-industry/
Moukahal, W. (2015). The Banking Industry in the UAE. Abu Dhabi: Deloitte, UAE.
Saunders, M. N., Lewis, P., & Thornhill, A. (2015). Research Methods for Business Students. New York: Pearson Education Limited.
SIB. (2016). Sharjah Islamic Bank. Retrieved from https://www.linkedin.com/company/sharjah-islamic-bank
Weiner & Partner. (2016). Sharjah Islamic Bank PJSC financial SWOT analysis - Strengths, Weaknesses, Opportunities, Threats of Sharjah Islamic Bank PJSC. Retrieved from http://www.swotanalysis24.com/swot-s/97355-swot-analysis-sharjah-islamic-bank-pjsc.html
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UAE Banking Sector Overview. (2021, Mar 22). Retrieved from https://proessays.net/essays/industry-banking-sector-in-the-uae
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