The EU examines the impact of artificial intelligence (AI) on the financial sector to balance innovation with risk management. Key objectives include ensuring consumer protection and financial stability while fostering competitiveness through AI adoption. The report highlights the need for clear regulatory guidelines to prevent overlaps and enhance legal certainty. It also stresses the importance of addressing data quality, transparency, and ethical concerns in AI applications. The EU aims to boost investments and skills development to maintain global leadership in AI-driven finance.