From recent events in Europe it has become evident that countries cannot operate effectively without control over their financial sectors.
The debate over whether banks should split their investment and retail operations continues and this may lead to large global players divesting of certain interests and exiting geographies or products.
These are just some of the issues facing financial services institutions in South Africa. As observed by Mervyn King, former Governor of the Bank of England, banks may live globally but they die locally.
To be successful in a more localised world, banks need to place increased focus on understanding the needs of their customers.