Artificial Intelligence in Finance

Abstract

This chapter provides a comprehensive overview of the opportunities and risks associated with the integration of artificial intelligence (AI) in the domains of banking, investments, and microfinance. Through a detailed analysis of various data sets, case studies, and industry reports, the research highlights the significant impact of AI on enhancing customer satisfaction, improving investment portfolio performance, and promoting financial inclusion for underserved communities. The findings underscore the transformative potential of AI in driving operational efficiency, mitigating risks, and fostering innovation within the financial sector. However, the discussions also underscore the challenges related to data security, ethical implications, regulatory compliance, and workforce transitions that accompany AI integration. The abstract emphasizes the importance of implementing robust governance frameworks, ethical guidelines, and continuous skill development initiatives to ensure responsible AI deployment and sustainable growth in the financial industry.