A recent study by Visa highlights that a significant portion of Gen Z consumers in Singapore (aged 18-23) are not only familiar with generative artificial intelligence (Gen AI) but are also optimistic about its transformative potential in the banking sector.

The Visa Consumer Payment Attitudes Study found that 84% of this demographic is aware of Gen AI, with 80% believing it holds promising benefits for banking services.

The Impact of Gen AI on Banking

The research further indicates that more than 60% of Singapore's Gen Z population is intrigued by Gen AI’s diverse applications in banking. Key areas of interest include fraud detection, with 68% of respondents recognizing its importance, and using Gen AI to answer queries about banking products and solutions, which attracted the interest of 61%.

Adeline Kim, Visa’s Country Manager for Singapore & Brunei, emphasized the technology’s potential, noting that Gen AI could bring an estimated US$320 billion in value to the banking industry. To foster innovation, Visa has launched a US$100 million global initiative aimed at supporting companies that harness Gen AI to shape the future of commerce and payments.

Enhancing Money Management

The study also revealed that nearly 70% of Singaporean consumers, regardless of age, are particularly interested in utilizing Gen AI for financial management tasks. These tasks include retirement planning, updating bill payments, and tracking and analyzing spending. Moreover, about 25% of Singaporeans have already adopted Gen AI for online shopping, with Gen Z leading this trend at 43%.

An AI personal shopper is another area gaining traction among consumers, with 49% showing excitement about personalized recommendations and 45% eager to discover merchants offering better prices and promotions.