Paper Details

ABSTRACT The rapid integration of Artificial Intelligence (AI) into the banking sector has revolutionized customer service, risk assessment, and operational efficiency. However, this transformation brings forth critical ethical challenges related to trust, fairness, accountability, and emotional intelligence in AI-driven interactions. This conceptual paper explores the notion of "humanising the machine," emphasizing the need to embed empathy, transparency, and contextual understanding into AI systems used in banking. By examining the principles of responsible AI and the paradox of machine-led emotional detachment in financial services, the study underscores the importance of aligning AI technologies with human-centric values. Key constructs such as explainability, perceived fairness, and emotional resonance are analyzed in relation to customer perception and psychological acceptance. The paper further discusses the ethical dimensions of AI in banking and proposes a hybrid human-AI interaction model as a pathway to preserving relational trust. Ultimately, the paper advocates for a future where AI in banking is not only intelligent but also responsible, inclusive, and emotionally aware, serving as a strategic tool for ethical and sustainable financial services.

KEYWORDS: Responsible AI, Humanised Artificial Intelligence, AI Ethics in Banking.