Agentic AI in Financial Decision-Making: Enhancing Customer Risk Profiling, Predictive Loan Approvals, and Automated Treasury Management in Modern Banking

Abstract

This essay investigates the role of agentic AI in revamping financial decision processes in modern banking. Specifically, three innovative applications of such technologies will be explored. First, an agentic AI financial expert has been developed to assist human risk managers in profiling customer credit risk. This can enhance accuracy by revealing biases and hidden inequalities of present profiling strategies. Secondly, an artificial analyst has been equipped with agentic AI technology to explore potential predictive loan approval using telephone calls from bank customers. Finally, agentic AI technology for treasury management improves the agility of a bank's response to capital fluctuations and therefore promises new ways for efficient cross-border multicurrency payment services. Overall findings indicate that agentic AI technologies are positioned to transform existing banking workflows in conjunction with traditional risk management practices – a revolution rather than a replacement. Fundamentally, agentic AI offers banks the opportunity to provide the modern financial customer with sophisticated self-service finance. Advancement in this area is necessary to remain competitive in an evolving digital banking landscape. Financial services that deploy agentic AI solutions offer improved and more personalized customer experiences, active and continuous risk management with fine-tunable outcomes, and higher efficiencies in treasury through automated asset and liability management. Thus, agentic AI has the potential to revolutionize banking beyond mere cost-cutting from automation, representing higher profitability through manyfold proven innovation.