Artificial Intelligence (AI) is revolutionizing the banking industry by enhancing
efficiency, security, and customer experience. This study explores how AI-driven technologies are
redefining traditional banking practices through automation, predictive analytics, and personalized
services. It highlights the transformative role of AI in fraud detection, risk management, and
regulatory compliance, enabling financial institutions to address emerging challenges effectively.
The paper also examines the ethical and operational implications of integrating AI into banking,
emphasizing the need for transparent algorithms and responsible innovation. By analyzing the
benefits and risks, this research underscores the potential of AI to shape the future of finance,
fostering a smarter and more inclusive banking ecosystem.

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