IBK Industrial Bank Surpasses 1,000 AI Agents, Transforming Loan Review and Credit Processes

IBK Industrial Bank is accelerating its transformation into an 'AI Native Bank' by applying artificial intelligence (AI) across various banking operations, including loan reviews, import and export letters of credit, and retirement pension tasks. This initiative goes beyond simple consultations and document assistance, integrating AI agents into core banking functions.

As of June 25, the number of AI agents utilized within IBK has surpassed 1,000. Employees have created and implemented these agents using the bank's proprietary generative AI platform, 'IBK GenAI (Jenny).'

Jenny is a generative AI that has learned 120,000 key operational knowledge points, including internal regulations and work manuals. Unlike traditional chatbots that merely answer questions, Jenny can autonomously plan and execute multi-step tasks when given objectives. For instance, it assists in the process of opening letters of credit for export-import businesses and provides real-time guidance on retirement pension-related tasks.

For less experienced employees, Jenny serves as a kind of 'AI mentor.' New hires can instantly access the bank's extensive knowledge and operational procedures through Jenny, enhancing the speed of consultations and internal processes. This reduces the time spent on repetitive document checks and manual searches, thereby increasing productivity at branches.

The push for AI integration in practical operations is driven by the bank's president, Jang Min-young. During a press conference marking his 100th day in office on May 12, Jang stated, "We aim to implement hyper-personalized AI banking and establish an AI-driven loan review system and work environment based on AI agents." To support this initiative, the bank has assigned 24 AI specialists to the AI & Tech Center under the Data Headquarters.

A key focus area is loan reviews. Small business loans account for 83% of IBK's total lending portfolio. With the recent rise in the delinquency rate among small businesses to around 1%, the importance of effective screening capabilities has increased. IBK is leveraging AI to analyze not only financial performance but also non-financial data such as technological capabilities, employment, and research and development (R&D) investments to identify innovative technology firms with high growth potential.

This strategy aligns with IBK's productive finance initiative. By using AI to analyze technology firms that are difficult to evaluate based solely on collateral or past performance, the bank aims to simultaneously enhance support for innovative companies and maintain soundness in its financial management. IBK plans to improve the accuracy of financial support for advanced industries and small to medium-sized enterprises through this approach.

IBK is also supporting AI transitions for its client small businesses. The bank offers 2 to 4 weeks of AI transition consulting to small firms that lack the funds and personnel to invest in automation. This initiative aims not only to innovate internal banking operations but also to assist in enhancing the productivity of client businesses.

A financial industry insider noted, "As competition intensifies in the banking sector, the ability to reduce repetitive tasks and enhance review accuracy through AI is becoming increasingly important. In corporate finance, the capability to utilize AI for loan reviews can translate directly into competitive advantages in productive finance."