Digital Transformation and Artificial Intelligence as Pillars for Developing the Public Banking Sector in Iraq: An Analytical Study in a Turbulent Geopolitical Environment
DOI:
https://doi.org/10.59992/IJFAES.2025.v4n12p1Keywords:
Digital Transformation, Artificial Intelligence, Iraqi Banks, Digital InfrastructureAbstract
Iraqi banks, particularly public sector institutions, face significant challenges in adopting digital transformation and artificial intelligence amid a volatile geopolitical environment. This field study aims to analyze banking data and digital statistics to assess the impact of digital infrastructure on the quality of banking services, examine the influence of geopolitical factors on financial technology adoption, and explore the relationship between digital transformation and banks’ financial and administrative performance. Results indicate that digital infrastructure, including ATMs, point-of-sale terminals, and e-wallets, has enhanced operational efficiency and financial inclusion, while regulatory and geopolitical gaps hinder the adoption of digital innovation. A positive correlation was observed between digital transformation and financial and administrative performance, emphasizing the need to overcome human and organizational challenges through training and skill development. The study highlights the importance of strengthening digital infrastructure, improving regulatory policies, and leveraging artificial intelligence to ensure the sustainability of digital transformation in Iraqi banks.
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