Banking Operations’ Productivity to Surge by 46% by 2030: EY Report

Generative AI is set to enhance the productivity of Indian financial services by 34%-38% by 2030 and by 46% specifically for banking operations, EY report stated.

Titled ‘How much productivity can GenAI unlock in India? The Idea of India: 2025’, the report highlighted how GenAI is transforming financial services, while driving significant advancements in customer engagement, operational efficiency, and risk assessment.

Close to 125 C-suite executives across India were surveyed representing various sectors including financial services, retail, healthcare, life sciences, media and entertainment, technology, automotive, industrials and energy.

As per the study, about 74% of financial firms have initiated proof-of-concept projects, while 11% have moved to production-level deployments.

The report said, “Investment in GenAI is also increasing, with 42 per cent of organisations actively allocating budgets toward AI initiatives. They are rapidly adopting GenAI across key areas such as voice bots, email automation, business intelligence, and workflow automation.”

Customer service is the top priority of firms, while 68% have prioritised it for GenAI implementation, which is followed by operations (47 per cent), underwriting (32 per cent), sales (26 per cent), and IT (21 per cent).

Notably, these investments have delivered significant results. Close to 63% have seen improved customer satisfaction levels, while 58% have reported cost reductions.

Pratik Shah, Partner and National Leader - Financial Services, EY India said, “The financial services industry has moved beyond innovation pilots to real-world implementation in 2024-25. Firms are integrating GenAI with core banking systems, including CRM, loan origination, card management platforms, among other areas.”

The study highlighted that GenAI will drive 34%-38% productivity improvement by 2030. Close to 700 roles were analysed in the various sectors.