AI has the potential to revolutionize banks

      To understand how AI will usher in a new era of smart banking and create an intelligent bank, KPMG conducted an extensive research program, interviewing executive leaders across eight key global markets. This research outlines a comprehensive blueprint for AI in banking, helping banks chart a path toward unlocking AI’s immense value.

      At-a-glance insights:

      They have high expectations
      0%

      believe that banks that embrace AI will develop a competitive edge over those who do not.

      62%

      expects a moderate to a very high ROI from AI investments.

      But the pressure is on to prove ROI
      0%

      face significant pressure from shareholders to show immediate ROI on AI investment.

      AI spending will likely increase significantly
      0%

      plan to increase the percentage of global budget spend on AI.

      of which

      62%
      say up to 20 percent.

      and

      38%
      say 20 percent plus.

      The Banking sector is widely investing in AI, although the majority are only investing moderately.

      Percentage allocation of global technology budget to AI initiatives  

      Increase of global technology budget allocation of AI initiatives (among those who say their AI budget will increase)

      82%

      report a moderate-high allocation of their global technology budget to AI initiatives

      Leadership goals for AI adoption focus heavily on operational gains rather than strategic value

      How to realize value from your AI transformation journey

      To address these challenges, KPMG introduces the three phases of AI value — a framework designed to guide banks through the AI adoption journey. This phased approach provides a structured roadmap, helping banks prioritize investments, align initiatives with business goals, and position themselves effectively in the age of AI in banking. Click on each of the phases below to find out more.

      Enable Embed Evolve Value Maturity Enterprise Functions Foundations

      Enable

      The Enable phase focuses on enabling people and building AI foundations. Organizations appoint a responsible executive, create an AI strategy, identify high-value use cases, boost AI literacy, align with regulations and establish ethical guardrails. AI pilots are launched across functions, while cloud platforms and pre-trained models are leveraged with minimal customization.

      Embed

      The Embed phase integrates AI into workflows, products, services, value streams, robotics, and wearables, delivering greater value. A senior leader drives enterprise-wide workforce redesign, re-skilling and change, embedding AI into operating models with a focus on ethics, trust and security. AI agents and diverse models are deployed, supported by cloud and legacy tech modernization, while enterprise-wide data enhances operations.

      Evolve

      The Evolve phase evolves business models and ecosystems, using AI and frontier technologies like quantum computing and blockchain to solve large sector-wide challenges. AI orchestrates seamless value across enterprises and partners. Emphasizing ethics and trust with real-time security, this phase uplifts human potential with broad and deep workforce training, fostering a creative, innovative and value-driven future.

      Intelligent banking

      This research outlines a comprehensive blueprint for AI in banking, helping banks chart a path toward unlocking AI’s immense value.

      Our executive summary provides a cross-sector view of how organizations are navigating the opportunities and challenges of implementing AI. Download the executive summary to see the blueprint for intelligent industries to help you become an AI-powered, customer-centric organization ready to thrive in the intelligent economy.

      Discover more

      We help clients harness the power and potential of AI. From strategy to implementation.

      Solutions to guide your AI transformation journey.

      KPMG firms' Global Banking and Capital Markets practice combines industry knowledge and experience with strategic insight to help clients succeed.

      Our people

      Francisco Uría

      Global Head of Banking and Capital Markets

      KPMG International

      Leanne Allen

      Partner - FS Consulting Technology and Data, Data Science & AI capability Lead

      KPMG in the UK

      Benedikt Höck

      Partner, Head of AI, Strategy and Management Consulting

      KPMG in Germany

      Adrian Clamp

      Global Head of Connected Enterprise

      KPMG International