INTEGRATION OF ARTIFICIAL INTELLIGENCE INTO THE ACTIVITIES OF FINANCIAL AND CREDIT INSTITUTIONS: ACCOUNTING AND ANALYTICAL TRANSFORMATION AND STRATEGIC IMPLICATIONS

Abstract

The article presents a comprehensive study of the impact of artificial intelligence on the transformation of the accounting and analytical system of financial and credit institutions in the context of economic digitalization. The research confirms that leading global banks actively integrate large language models to analyze regulatory changes, forecast corporate financial distress, and manage investment portfolios. Similar trends are spreading in the Ukrainian banking sector, demonstrating commitment to global digital standards and enhanced competitiveness. The analysis of AI use cases shows the greatest potential in augmenting employees’ knowledge, real-time monitoring, and synthetic data generation. This highlights AI’s role not only as an automation tool but also as a strategic resource supporting managerial decision-making, regulatory compliance, and data confidentiality. However, AI implementation involves significant challenges and risks. Effective AI use therefore requires comprehensive risk management, including backup systems, cybersecurity tools, regular model audits, and transparency. AI security risks such as malicious attacks, data poisoning, and model opacity create additional threats for financial institutions, requiring both technical safeguards and an appropriate regulatory framework. Regulatory authorities, particularly the National Bank of Ukraine, should establish standards for responsible AI use, foster innovation, and protect financial service consumers. Artificial intelligence is transforming accounting into a strategic information and analytical center, enhancing transparency, accelerating data processing, and improving risk management. Realizing AI’s potential in Ukraine also requires overcoming structural challenges, especially the shortage of qualified specialists, through educational development and research support. Artificial intelligence is a catalyst for the digital transformation of Ukraine’s banking system, increasing efficiency, reducing costs, improving service quality, and strengthening financial stability. Its successful integration demands technological innovation, effective risk management, human capital development, and a modern regulatory framework.