Indian banks and NBFCs keep project AI spend below 10%
Most Indian banks and NBFCs are still playing it safe with artificial intelligence: less than 10% of their new-project technology spending goes to AI, according to a new Zeta survey of 40 CXOs from 18 financial institutions.
Only about 30% of chief data officer respondents reported scaled deployment, even though the tech is already making waves in areas like lending and customer service.
Banks cite AI security and privacy
Security and data privacy are the top reasons banks are holding back: roughly three-quarters of technology and risk leaders pointed to these as the main constraint.
While most institutions use AI in some form, around 60% said responsible AI frameworks were under development, although none reported organisation-wide implementation, and 80% say their data isn't fully ready for large-scale AI.
Still, many plan to ramp up with more advanced tools for fraud detection and risk management over the next couple of years.