An account of AI disruption in finance as technology reshapes work

OVER 50% of Indian accountants worry they are unable to develop skills due to frequently changing technology, according to a survey

It's a profession of caution, measured approach and spreadsheets, but even here experts are being pushed to adapt to artificial intelligence (AI) or risk obsolescence. AI is taking over many tasks in finance and accountancy: from bookkeeping to reconciliations and tax compliance. 

Just as AI automated writing and testing codes in software engineering, the world of finance and accountancy and risk management is walking the same path with machines doing many of its tasks faster and better. 

It is a tectonic shift in a profession not known to move “suddenly”. It involves changing the mindset of junior employees, senior executives and even partners who have spent more than three decades with Excel sheets. For many, industry executives said, the shift can be overwhelming. 

"It is the fear of the unknown. For someone who is otherwise immersed in taxation or accounting or company law [and] is suddenly told to become familiar with AI — it is unknown territory. At the same time what we are emphasising is that you don't need to become an expert in AI,” said Sai Venkateshwaran, global lead partner and a board member of KPMG India. 

Many traditional accounting functions such as receivables, payables and bank reconciliation have become easier due to Cloud computing, automation, and AI. Such digital technologies have resulted in increased speed, enhanced accuracy, and fewer human errors. 

AI skills needed 

And yet, accountants are finding it difficult to keep pace, according to a survey by a global accounting body. More than half of Indian accountants surveyed said they are worried about not being able to develop future skills due to technology changing frequently, said the third annual Global Talent Trends Survey 2025 by the Association of Chartered Certified Accountants (ACCA). 

Darshan Varma, partner for financial accounting advisory services at EY India, said it is a challenge to make accountants, tax professionals, and auditors adopt AI as many view it as another technology fad that will pass through. But in the last few years and ever since ChatGPT, Open AI’s chatbot that generates human-like text, burst into the scene, people have realised that the technology will upend professional structures. 

“That is why all of us at EY have been trained on prompt engineering. We are used to asking Google a set of questions in a layman’s language. But a large language model is like a baby and you need to coach it with specific questions,” Varma said, referring to AI programmes trained on vast amounts of text data to understand, generate, and process human language. 

The ACCA survey found that 50 per cent of the global respondents are worried that they are not developing skills needed for a future workplace and 38 per cent are not confident about their current knowledge of AI. 

Experts associated with India’s Big Four accounting firms — Deloitte, EY, KPMG and PwC — said training institutes must make AI part of the curriculum. “Expecting them (new professionals) to be industry ready will be difficult if you do not train them. It will mean that they will be three to six months away from getting a job. The Institute of Chartered Accountants of India, American Institute of Certified Public Accountants, and ACCA need to set up their digital accounting board and make accountants practice on their own model to be technology proficient,” said Varma. 

Critical areas where AI has made work easier for finance and accountancy professionals include treasury management strategies and de-jargoning complex legal and financial agreements. Both involve going through volumes of data and hundreds of pages of documents. AI agents summarise data and documents into concise information in a short time, helping accountants and finance professionals to focus more on strategy and course of action. 

Experts said that AI agents can automate tax compliance and reporting by tracking legal changes, analysing financial data, and identifying potential compliance risks. They can help users in filing taxes, with human intervention required only when there is an aberration. 

Asked about areas where AI can make an impact in finance and accountancy, ACCA told Business Standard in an email that the focus is on exercising judgement in interpreting data and insights, managing exceptions and preventive action. 

‘No full automation’ 

“So we wouldn't want to automate the full decision-making process, such that judgements are being made without consideration from the auditor. For example, we would want to maintain oversight and judgement in how exceptions are handled and which are selected for investigation. And we wouldn't want to automate how we determine the appropriate course of corrective or other actions,” it said. 

Samir Shah, partner and audit leader at Deloitte Haskins & Sells, said future accountants must focus on technology skills. “One needs a mindset shift. Currently, we have a lot of courses and tools available on AI. There should not be a resistance to learning. You cannot sit back and say that ‘I will become redundant’, but get up, learn, and be with technology.” 

As an example, he cited Deloitte accountants and auditors working on going concern analysis by using tools that make the audit process more effective and efficient. 

Venkateshwaran, of KPMG, said accountants can become AI specialists later but now they should learn how to work with the technology. “First become AI literate and then learn how you can collaborate with AI and make it work for you and make you more effective. We are not asking you to become an AI expert.”