AI transforms bank operations yet struggles to drive revenue
Monetising AI in banking remains a challenge despite operational gains.
Banks are embracing AI to boost productivity, with significant advancements in coding, task automation, and reporting processes. At the Reuters Next conference, executives from leading financial firms highlighted AI’s transformative potential.
Goldman Sachs has used AI to enhance coding productivity, potentially improving output by up to 30%, according to CEO David Solomon. Similarly, BNY Mellon has enabled employees to build AI tools for daily tasks, reflecting the industry’s drive to streamline operations.
Despite these productivity gains, financial institutions face challenges in monetising AI. Kristin Milchanowski, chief AI officer at Canada’s BMO Financial Group, noted that while AI has reduced reporting times significantly, its impact on revenue generation remains limited.
Future advancements depend on identifying specific use cases, such as optimising trades and attracting clients. Experts agree that AI’s long-term success in banking hinges on precise application and measurable outcomes.
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