April, 08, 2010

Banks must develop stronger relationships with their small business customers if they are to recover from the economic crisis, according to a new report.While small businesses contribute a third of the retail banking industry’s net banking income they represents half of its risk-weighted assets, according to the report from Capgemini, UniCredit and the European financial marketing association (Efma).

The report highlighted the challenge faced by banks to improve business development while managing risk for the market.“To overcome these increased threats, successful retail banks will develop two critical areas: the role of the relationship manager and the credit risk management system,” says Bertrand Lavayssière, Managing Director, Global Financial Services, Capgemini.

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