Citigroup CEO Jane Fraser says the banking industry is effectively running two simultaneous “races” as artificial intelligence develops rapidly, shaping how banks compete and respond. In an interview with the South China Morning Post, Fraser describes the first race as “offensive”: using AI to improve business models in ways that can support revenue growth. She says this approach includes shortening product development cycles and enhancing customer service.
Fraser also describes a second, “defensive” race, focused on ensuring banks keep up with fast-moving AI capabilities and do not fall behind competitors as adoption accelerates. She adds that the impact of AI on employment is likely to include job dislocations, but also that new roles would be created. Fraser’s comments also suggest that workforce and timing challenges may arise during transitions, requiring banks to manage change as they deploy AI in products and operations.
