Adoption of Artificial Intelligence by companies By Tanveer Inamdar, Fintech Director of Mbank

August 2020: While we have been gradually veering towards e-payments, a report that we just read shows that Visa and Mastercard remittances have dropped dramatically and so have the revenues of online shopping. Here it is more economics than tech.

However, there is a definite acceleration of the adoption of this technology. Now micro businesses have realised that going online and using e-payment methods is the only way to survive.

Two major things that were found during the COVID-19 lockdown was there was no cash on deliveries happening and the stores were selling perhaps only on what’s groups since there was no e-facility. That too was tech, as you had opened your shop on whatsapp!

Now the realization has dawned that payment gateways are necessary to avoid contactless transactions. I would like to compare this to the horse carriage and car. Those who hung on the carriage lost to the car. So, this pandemic has proven to be an accelerator.

As a top finance company SDK says, “Whether it is insurance, wealth management, payments or lending, FinTech companies can leverage AI and big data to generate customized financial services to fulfil otherwise unmet needs. AI-based workflows can discover new client groups, streamline risk management, and drastically cut down compliance costs.”

When it comes to fintech, Artificial Intelligence, (AI) will play a very big role in the near future as offices will come to be less populated and AI will gradually take over.

Bernard Marr of Forbes puts it brilliantly, “All indicators confirm that investment in fintech, new technology that can improve and automate financial services, is skyrocketing and is expected to exceed $30 billion by 2020. This investment will translate into dramatic time and cost savings and enhancements to service offerings from financial institutions. 

According to Gartner, by 2020, chatbots will interact with the customers of 85% of banks and businesses by eliminating human involvement in these interchanges, productivity, and speed improvement. In fact, according to one report, financial chatbots save over four minutes on every interaction. This is a booming area due to the progress made in natural language processing and speech generation. Customers of financial institutions have come to rely on conversational interfaces to provide 24/7 service, instant responses to queries, and quick complaint resolution to improve personal banking significantly.