The banking and financial services sector across the Gulf is experiencing a period of rapid growth and profitability. The UAE and Saudi Arabia in particular look set to continue this trend, delivering strong returns as both countries seek to diversify their economies. This expansion has been supported by wider macroeconomic conditions but to overcome a period of high global inflation and keep growth steady the industry needs to attract and retain exceptional talent. Yet the recruitment landscape in the banking and financial services (FS) sector within the GCC presents a unique set of hiring challenges.
Known for its rapid economic growth and ambitious development goals, the Gulf region requires a highly skilled and specialised workforce to sustain its financial ecosystem. However, current talent scarcity, stiff competition, and stringent regulatory requirements, complicates the hiring process. For banks and financial institutions, building robust talent pipelines is a strategic priority. These pipelines are essential to overcoming these obstacles, helping to meet hiring targets, and driving forward the sector's contribution to the region's economic vision.
6 Biggest Recruitment Challenges Facing GCC Organisations
With more than 50% of UAE financial institutions expected to grow their headcounts in the next 12 months and banks in Saudi expected to continue growing at double the GCC average rate, here are some of the biggest hiring challenges facing the banking and FS industries across the GCC:
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Meeting Strict Regulations: Navigating the stringent regulations designed to ensure stability, transparency, and compliance in the banking and FS sector in the GCC is a significant hiring challenge. Organisations must ensure that new hires meet the necessary legal and ethical standards. Compliance requirements often mandate specific qualifications and certifications, limiting the pool of eligible candidates. And regulatory changes can occur frequently, requiring continuous adaptation and training for both new and existing staff. All this requires banks and financial institutions to invest heavily in compliance training and development programs to maintain a workforce that can operate effectively within these regulatory frameworks.
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Labour shortage of highly technical skillsets: Across the GCC banking sector there is a shortage of highly skilled candidates, particularly in emerging fields such as digital technology and artificial intelligence. Quantitative skillsets are another example of technical labour shortage for GCC banks and financial institutions. There is often a mismatch between the skills and qualifications of the local workforce and the needs of the industry. As financial institutions increasingly adopt digital transformation strategies, they require professionals with expertise in data analytics, cybersecurity, and the use of AI in banking. However, the local talent pool has not kept pace with these demands, leading to a significant skills gap.
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High Competition for GCC National candidates: In the GCC, there is intense competition among banks and financial institutions for the best GCC national talent. Historically dominated by expatriates, banks and financial institutions must balance the inclusion of local talent to meet nationalisation targets while managing the high influx of international candidates all against a backdrop of increased competition for the best local candidates.
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Inefficient Hiring Processes: Inefficient hiring processes present major hiring challenges for banks and financial services in the GCC. Long time-to-fill periods, increased hiring costs, and a poor candidate experience can all stop top talent from engaging with potential employers. At worst, these inefficiencies lead to poor quality hires, negatively impacting organisational performance and customer satisfaction. Only by optimising and streamlining these processes can financial institutions reduce costs, shorten hiring timelines, and attract higher-quality candidates.
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Competition from the public sector: Another recruitment challenge for banks across the GCC is the intense competition for skilled talent from other sectors and industries. Other industries are often able to offer higher salaries, better job security, and more attractive benefits to candidates. This is particularly true for the GCC public sector, where even as oil prices have dropped, wages are often up to 30% higher than equivalent private sector roles. This disparity makes it difficult for banks and financial institutions to attract and retain top talent. To compete, they must offer competitive compensation packages, career development opportunities, and a positive work environment.
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Limited Focus on Employer Branding: Employer branding involves creating a strong, positive image of the company as a great place to work, which is crucial for attracting top talent. Without a well-defined employer brand, financial institutions may struggle to differentiate themselves from competitors and fail to attract high-calibre candidates. The banking sector in the GCC has traditionally relied on its status as an aspirational industry to attract talent and neglected more modern employer branding strategies that position it as an employer of choice such as showcasing company culture, promoting employee success stories, and engaging in social responsibility initiatives.
Overcoming Hiring Challenges in the GCC
Let’s explore some key strategies for addressing these hiring challenges and creating proactive talent management strategies for the GCC's banking and financial services industry.
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Building a positive employer brand: Actively promote your organisational culture, values, and employee success stories through social media, company websites, and industry events. By highlighting your unique benefits, career development opportunities, and work environment you can attract high-calibre candidates and differentiate yourself from competitors.
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Investing in training, upskilling and career development opportunities: Overcome skill shortages by investing in training and upskilling programs. Offering opportunities such as mentorship, certifications, and professional growth paths keeps employees competent and motivated, and gives them skillsets that meet the demands of the banking and financial services sector.
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Embracing recruitment technology: Advanced recruitment technologies, such as applicant tracking systems (ATS) and AI-driven tools, can streamline hiring processes, reduce time-to-fill, and enhance candidate matching. These technologies improve efficiency, reduce costs, and provide a better candidate experience by automating repetitive tasks and identifying the best candidates quickly.
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Focusing on candidate experience: Companies should ensure clear communication, timely feedback, and a smooth application process. Personalising interactions and providing a positive interview experience can leave a lasting impression, encouraging high-quality candidates to join the organisation.
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Developing a strong talent pipeline: This involves proactively identifying and nurturing potential candidates through internships, graduate programs, and industry partnerships. Establishing relationships and nurturing a talent pool ensures a steady supply of qualified candidates ready to fill critical roles as they arise.
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Monitor employment trends: Stay informed about employment trends, including competitive salaries and benefits, helps you remain attractive to top talent. Regularly benchmark compensation packages against industry standards and adjust your offerings to meet employee expectations.
At Aventus we are the recruiter of choice for banks and financial services institutions across the GCC. Our network of high quality mid-to-senior level candidates combined with a reputation for discretion and quality service, mean we are perfectly placed to help you with all your talent needs. In addition to a best in class recruitment service Aventus offers market mapping, candidate pipelining and can also play a key role in employer branding as well as helping improve the candidate experience.
Find out more about our services, or contact one of our expert consultants to discuss your human capital requirements and how Aventus can help.