Harnessing Artificial Intelligence for Sustainable Finance: Innovations, Challenges, and Opportunities
DOI:
https://doi.org/10.70301/SBS.MONO.2025.1.1Keywords:
Artificial Intelligence, Sustainable Finance, ESG Investments, AI Models, Financial Innovation, Machine Learning, Responsible Investing, Relationship-Based Finance, AI Governance, IRAML ModelAbstract
This Artificial Intelligence (AI) is increasingly transforming the landscape of sustainable finance, offering innovative solutions for Environmental, Social, and Governance (ESG) investments, financial risk assessment, and responsible decision-making. This chapter presents a qualitative analysis of 56 recent scientific articles from the EBSCO host database, examining the intersection of AI and sustainable finance through an automated coding approach using Iramuteq. The analysis identifies five thematic categories: Innovation, AI Models, Learning, Environment, and Relationship, forming the IRAML Model (Innovation-Relationship-AI Model-Learning). The results highlight that Innovation is the primary driver of AI adoption, particularly in digital finance and ESG applications. The Relationship category acts as a critical bridge, linking AI models and learning to financial sustainability outcomes. However, the study also reveals that AI models and financial learning remain largely independent, suggesting a gap in integrating AI-driven financial decision-making with broader sustainability goals. This chapter proposes strategic recommendations to enhance AI’s transparency, foster human-AI collaboration, and strengthen regulatory frameworks in sustainable finance. The findings contribute to ongoing discussions on AI-driven financial innovation, emphasizing the need for relationship-based frameworks to align AI applications with sustainable investment strategies.
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