3
The Economic Survey 2025 has highlighted the growing adoption of artificial intelligence (AI) in banking, warning that its benefits come with significant risks.
While AI can improve efficiency, cut costs, and enhance decision-making, concerns around its transparency, accountability, cybersecurity vulnerabilities, and dependence on third-party providers cannot be ignored.
One of the most pressing issues is AI’s “black-box” nature, which makes it difficult to understand how decisions are made. This opacity raises concerns about fairness, accuracy, and…
