The Impact of RegTech on Compliance Costs and Risk Management from the Perspective of Saudi Banks’ Employees
Abstract
Through this research, we will be analyzing the Effect of RegTech on Compliance Costs and Risk
Management in the Banking Sector, mainly with the eye of people in administrative roles in Saudi Banks, a
total of 232. A new technological trend is reshaping the financial industry, RegTech, marked by various
advanced technological processes and automation. The main findings show that RegTech significantly reduces
compliance costs, confirming its cost-saving potential. Therefore, Employee perceptions are critical to
integrating and adopting RegTech within business operations. In addition, RegTech improves risk management
systems with more accessible procedures and better internal controls. This proves RegTech's ability to improve
the banking processes and strengthen the risk management system. Proportional to the organizational support,
tool investments, and tool diversity interactions are moderated, and operational efficiency is enhanced. This
research contributes significantly to the more profound knowledge of the implication of RegTech in the Saudi
banking sector, which facilitates transformation through renewed practices in the industry alongside its
efficiency.