KPMG, a global leader in professional services, has partnered with DataEQ to introduce the GCC banking sector’s first-ever sentiment index. This pioneering initiative aims to quantify consumer experiences and sentiments within the Gulf Cooperation Council (GCC) banking industry. By analyzing a vast dataset of social media posts spanning from May 2022 to April 2023, the index provides valuable insights into consumer perceptions towards 20 prominent banks in the region.

Bhavesh Gandhi, Partner and Head of Financial Services, KPMG in Kuwait, said: “The GCC region’s banking sector is on a steady rise, driven by infrastructure projects, economic diversification, and a strong demand for newer, better, and more versatile banking services. For banks in the region to stay on this growth trajectory, it is critical they continue to take a consumer-oriented approach and look deeper into the complexities of consumer experiences and sentiments.”

He added: “Banks in Kuwait had the lowest ratio of negative mentions in the region, which is a positive sign for those leaning toward embedding customer-centricity into their strategies. Banks should continue to build on this positivity, maximize engagement, address turnaround times for priority conversations and create a positive reputational sentiment to continue thriving in the longer term.”

Omar Mahmood, Head of Financial Services, KPMG Middle East, South Asia and Caspian (MESAC) region, and Partner, KPMG in Qatar, said: “In the digital era, banking consumer sentiment analysis is pivotal for shaping customer insights, product development, and brand reputation in the sector. Analyzing social media feedback provides valuable insights, driving informed decisions and aligning products with market trends.” 

Mahmood further noted how “Qatar lead results with a positive Net Sentiment score of 7.8%, which was 14.9% above the GCC average, and driven by a digital drive, innovative services, and collaborations for cross-border payments.”

Melanie Malherbe, Chief Commercial Officer at DataEQ, said: “Social data offers organizations an unfiltered view of what consumers really think about them and their competitors. With the rise of social media usage as a servicing channel, specifically in the banking landscape, these platforms house an untapped data pool that can be structured and analyzed in real-time, providing valuable insights into customer experience, product, pricing, and conduct feedback.

The index revealed that Saudi Arabia dominated online conversations about the GCC banking sector, with an overwhelming 83.3% share of total online conversation. However, Qatar led in positive Net Sentiment score, driven by digital initiatives, innovative services, and collaborations for cross-border payments.

Despite positive aspects, the survey also highlighted consumer complaints across all countries, including service issues, app downtime, and long wait times. However, positive sentiments were observed in various countries, with the UAE receiving praise for successful partnerships, financial performance, Corporate Social Investment (CSI) initiatives, and customer service.

Qatar emerged with the highest positive Net Sentiment score, reflecting favorable financial performance and the introduction of remittance services, notably the Unified Payment Interface (UPI) remittance for instant fund transfers to India. Collaborations with third parties to enhance cross-border payments further contributed to Qatar’s positive sentiment.

Overall, the GCC banking sector’s growth trajectory is attributed to infrastructure projects, economic diversification, and a young, affluent population driving demand for banking services. Regulatory oversight and innovation remain key pillars, ensuring stability, compliance, and adaptation to global financial trends.