ARTIFICIAL INTELLIGENCE IN FINTECH: ENHANCING DECISION-MAKING AND RISK MANAGEMENT

Abstract

Abstract - Artificial Intelligence (AI) has emerged as a transformative force in the financial technology (FinTech) industry, revolutionizing the ways financial institutions analyze data, make decisions, and manage risks. The integration of AI technologies such as machine learning, natural language processing, predictive analytics, and robotic process automation has significantly improved the efficiency, accuracy, and reliability of financial services. AI-driven systems enable real-time fraud detection, automated credit scoring, personalized financial recommendations, algorithmic trading, and advanced risk assessment models. These innovations enhance operational efficiency while reducing human error and financial uncertainties. However, the adoption of AI in FinTech also presents challenges related to data privacy, algorithmic bias, cybersecurity, and regulatory compliance. This paper explores the role of AI in enhancing decision-making and risk management within the FinTech sector. It examines the core concepts, applications, benefits, challenges, and future directions of AI-powered financial technologies. Keywords: Artificial Intelligence, FinTech, Risk Management, Decision-Making, Machine Learning, Financial Technology, Predictive Analytics, Fraud Detection, Automation.