Organisations in the Asia-Pacific region are poised to 'significantly increase' their investments in machine learning (ML) in the coming one to three years, according to research by global data and technology company Experian.
According to the study, conducted by Forrester Consulting, 69% of organisations that are already using ML plan to significantly increase investment in their ML capabilities, reflecting how the technological advancement is helping organisations improve access to financial services, reduce risk, and accelerate automation.
As ML has become a driver of financial inclusion and sustainable growth, finance leaders must look into how it is enabling organisations to expand access to financial services for underserved segments, particularly thin-file and underbanked consumers.
Experian says ML models allow for more accurate assessments of eligibility, helping providers make fairer, more inclusive decisions by incorporating richer, alternative data sources.
Research shows that 64% of ML adopters agree that the technology enables them to widen access to financial services, responsibly serving new customer segments that traditional scorecards often exclude. At the same time, 69% of respondents report that ML improves profitability by enhancing risk prediction and reducing bad debt, making the technological advancement a strategic asset for organisations aiming to grow sustainably.
Aside from this, the study reveals automation, efficiency and cost saving are top ML benefits, with 68% of ML users citing improved risk prediction accuracy and operational efficiency as the most significant advantages of ML.
