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ARTICLE · 09 JANUARY 2025

Adoption Of Artificial Intelligence In The FinTech Sector: A Regulatory Overview

Lakshmikumaran & Sridharan
Lakshmikumaran & Sridharan
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Lakshmikumaran & Sridharan

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The evolution of partnerships between banks and financial technology (‘FinTech') companies is facilitating the widespread adoption of advanced technologies, including artificial intelligence (‘AI'), machine learning (‘ML')...

IndiaTechnology
Sameer Avasarala
Sameer Avasarala
Aryashree Kunhambu
Aryashree Kunhambu
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The evolution of partnerships between banks and financial technology ('FinTech') companies is facilitating the widespread adoption of advanced technologies, including artificial intelligence ('AI'), machine learning ('ML') and Generative AI ('GenAI') in the financial sector. These innovations enable financial institutions ('FIs') to significantly improve operational efficiency, by enhancing risk management, fraud detection and customer engagement. Regulatory bodies, particularly the Reserve Bank of India, are actively leading efforts to promote technological innovation within the financial sector through various initiatives, including the RBI Innovation Hub, the EmTech Repository and regulatory sandboxes, while adopting a risk-based approach to the application of such emerging technologies in financial services.

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