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@article{207474,
        author = {Suchita Ganesh Bhute},
        title = {A Study of the Challenges in Adopting Artificial Intelligence in the Financial Sector in India},
        journal = {International Journal of Innovative Research in Technology},
        year = {2026},
        volume = {13},
        number = {3},
        pages = {1194-1202},
        issn = {2349-6002},
        url = {https://ijirt.org/article?manuscript=207474},
        abstract = {Artificial Intelligence (AI) is emerging as a significant technological force bringing about a revolution in India’s financial sector. AI is being widely used in banking, insurance, investment management, and FinTech to improve customer services, manage risks, detect fraud, and enhance the accuracy of decision-making processes. However, several difficulties and challenges are also emerging while adopting AI. The present study aims to examine in depth the major challenges encountered in adopting AI in India’s financial sector.
The study is based on secondary information and a review of available literature. The study reveals that data privacy and security concerns, high implementation costs, inadequate technological infrastructure, shortage of skilled human resources, regulatory uncertainty, difficulties in integrating AI with traditional systems, and lack of awareness about technology limit the effective use of AI. In addition, gaining customer trust and maintaining ethics and transparency are also significant challenges.
The findings of the study suggest that these challenges can be addressed through appropriate strategic planning, strong cybersecurity mechanisms, skill development, and a clear and effective regulatory framework. Responsible and effective use of AI technology can make India’s financial sector more efficient, secure, and customer-oriented.},
        keywords = {Artificial Intelligence, Financial Sector, FinTech, Data Security, Digital Transformation, India},
        month = {August},
        }