Paper Details

Name: Khushboo Kumari Kamat
Country: India

Year: 2025
Volume: Volume No: 12, Issue No: 2, Year: 2025, (Specials issue-1)
Page Number: 85-91
DOI: https://doi.org/10.5281/zenodo.17839182

ABSTRACT
The integration of Artificial Intelligence (AI) in the banking sector is rapidly transforming
traditional financial operations and decision-making processes. Banks in India, in particular,
are increasingly adopting AI technologies to enhance efficiency. The present research paper
examines the influence of Artificial Intelligence (AI) on the financial outcomes of select
Banks in India considering few financial metrics of the select banks in India. It highlights the
necessity of improved clarity in AI disclosures in financial reports to boost stakeholder trust.
A mixed methods strategy was utilized, integrating both quantitative and qualitative
assessments. The research employed a dynamic panel data model to evaluate the Influence of
AI adoption on the Return on Equity (ROE) of 14 Banks in India across a five-year span
(2019–2024The study utilized secondary data sourced from yearly reports and the Thomson
Reuters database concerning financial metrics like ROA, ROE, and Net Interest Margin
(NIM). The findings reveal a notable positive relationship between AI integration and
financial performance, as AI implementation boosts ROE by enhancing operational
efficiency and minimizing mistakes. On average, terms related to AI made up a small fraction
of the total word count in financial reports.
Keywords: Artificial Intelligence, Financial Performance, Indian Banking Sector, NIFTY
Bank Index, ROE.