BBVA’s FinTech strategy is enabling it to better anticipate changes in the financial world, according to the Spanish banking group’s executive chairman Francisco Gonzalez.

Speaking at the closing of MoneyConf 2017 in Madrid yesterday, Gonzales noted that the group had started its digital transformation journey in 2007. He said that the bank was engaging with the FinTech world through different channels, including its Open Talent competition and Propel (its venture capital fund for startups), as well as its investments in and acquisitions of startups (such as Simple and Madiva).

Gonzalez said: “We realised that we alone were not able to go on in our digital journey, so we dedicated a lot of time and management effort to understand the digital world and FinTech in particular.”

He noted that a new league of banking competitors was emerging, comprising of a few banks that had become digital houses, in addition to some technology giants and FinTech firms. He warned that traditional banks may disappear as they have neither the time nor money to become digital players. However, branches will exist for many years to come, according to Gonzalez, but they will play an entirely different role – providing services of greater added value.

Regarding the situation at Banco Popular (which was this week rescued from collapse by domestic rival Santander), Gonzalez said: “It is good news from an economic point of view. There was a problem in the financial system and that problem was fixed. This proves that the Spanish banking system was robust enough to fix the problem without public aid.”

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