Global banks risk losing up to $170 billion in profits as AI-powered financial assistants reshape consumer behavior, according to McKinsey’s Global Banking Annual Review 2025. The report highlights a growing threat from agentic AIand autonomous money-management bots that help consumers optimize their finances—often at the expense of traditional banking margins.
McKinsey notes that around $23 trillion of the world’s $70 trillion in consumer banking assets sit in low or zero-interest accounts. With AI agents guiding users to move funds more efficiently, banks could lose key income streams. If adoption continues, industry profits may drop by 9%, pushing returns below the cost of capital.
“AI eliminates customer inertia,” said McKinsey senior partner Pradip Patiath. “Imagine an AI agent saying, ‘You could save $2,000 a year by moving your money.’”
Though AI adoption can reduce operational costs by 15–20%, McKinsey warns that competition will likely pass those savings to consumers through better rates and services. Early adopters of agentic AI may gain a temporary edge by improving customer experience and reducing churn.
The report calls the shift both a disruption and opportunity: banks must rebuild around intelligent automation or risk long-term revenue decline.
