The Role of Artificial Intelligence in Growth and Prospects of Fintech: A Systematic Analysis in Banking Sector from 2010 to 2025

Abstract

The banking industry has undergone a radically positive transformation because of the addition of Artificial Intelligence (AI) to the Fintech ecosystem. These transformations include increased customer satisfaction, operational efficiency, and inclusivity in finance. This study considers the paradigm shift in the Fintech industry due to AI, and considers its theoretical and practical relevance, its growing popularity, and the challenges of fully integrating its advantages in the banking industry. This systematic review analyzes the complex role of AI in creating and shaping the future of Fintech in banking. This research paper uses systematic review of the literature as its methodology. This systematic review of the literature demonstrates that there are significant benefits to the banking industry the introduction of AI technologies. Fintech start-ups, which banking regulators are facilitating the introduction of AI technologies within the banking industry, are currently ubiquitous. There are numerous benefits which include the introduction of AI technologies in banking such as personalized services, automated digital wallets, smart problem-solving and decision-making, customer satisfaction and loyalty, the automation of repetitive tasks, increased security and efficiency of transactions, improved cybersecurity, and augmented digital and automated financial inclusion. There is however, a heavy over reliance on secondary material and the available research is mainly descriptive in nature.This requires empirical research to contribute to the existing body of knowledge pertaining to the advantages and challenges of AI within the banking industry.