Modern banking in developed market economies (such as banks in countries suchas the countries of the Western Balkans) has been operating for decades in conditions of very fierce competition, both within the banking institutions themselves and within non-banking institutions, and all within the framework of the simultaneous performance of the transitional tasks of the economy. The big challenges for bank operations are precisely non-banking institutions, which perform almost all the same tasks as banks, and are not subject to the regulations that apply to bank operations. Circumstances and the market situation present in the banking markets forced banks and other financial institutions to raise the level of their market performance through various innovations, in order to more easily face expected or unexpected risks. All that observation in the mentioned economies is in the conditions of transition, privatization, damaged economic units, the collapse of the state, a major economic crisis, a pandemic and acts of war in the wider environment, which is the reality and the environment of the banking system, which should respond to the emerging socio-economic circumstances.