State Bank of India Chairman Rajnish Kumar on Wednesday said banks and financial institutions need to make enough investment in technology upgradation for survival in this era of digital banking. Observing that the country has made rapid strides as far as adoption of digital technology is concerned, Kumar said as a result, India has the maximum number of mobile and internet banking users in the world.

"In this era of digital banking, any institution or bank which is not investing enough resources both in terms of manpower, as well as the financial investment in digital and latest technologies, won't be able to survive," the SBI Chairman said.

Talking of India�s biggest bank is seeing a pronounced dip in the number of transactions at its branches and ATMs, SBI Chairman Rajnish Kumar said �Out of 100 transactions at SBI, only nine transactions happen at the branch. Three years ago, during demonetization, transactions at ATMs were 55 per cent of all transactions at SBI. That share has come down to 30 per cent today."

Going forward, he said, mobile banking transactions would take over and become the most preferred digital channel even more than the internet.

"Ultimately the capability to develop and offer the product which can be consumed digitally that capability whichever institution or bank creates, they would survive. Those who lag behind survival for them would be difficult," he noted.

Kumar also emphasised the need to focus on the cybersecurity aspect with the proliferation of digital banking.

As banks embark upon the digital journey, the equal amount of attention has to be given on the security aspect, he said at NPCI event.

Speaking about SBI's mobile banking app, Kumar said it is omnichannel experience and it covers all business segments.

Despite the digital expansion, there would be a need for physical presence, he said, adding, so ''Phygital'' would be the way forward.