The global expenditure on anti-money laundering (AML) systems is projected to surge to $51.7 billion by 2028, fuelled by the rapid advancement of artificial intelligence (AI). AI's remarkable capabilities in enhancing risk assessment and trimming costs are expected to drive this accelerated growth.
In a new study by Juniper Research, the foremost experts in fintech and payments markets have found that by 2028, total spending on third-party AML systems will have grown by 80 percent, up from $28.7 billion in 2024. This growth will be driven using AI to assist AML analysts and reduce false positives.
AI Co-pilots to Assist AML Analysts
The research found that AML systems increasingly use AI in an assistive role. These AI co-pilot systems can reduce the number of false positives and improve risk assessment. This co-pilot role will remain popular due to ongoing concerns from regulators around the explainability of fully automated decisions using AI.
AML Vendors Expanding Beyond Financial Industries
Juniper Research identified that AML system vendors are increasingly expanding the scope of industries they cover beyond financial markets. For example, the total spend on third-party AML systems by professionals and other businesses, such as the legal, real estate, and non-profit sectors, will reach $6.3 billion globally by 2028, growing 170 percent from 2024.
To successfully reach these new high-growth industries that need to be better covered by existing solutions, it is recommend that AML systems vendors tailor their capabilities and partnerships to serve these segments better.
"AML system vendors should extend partnerships with data providers to allow coverage in different sectors, such as gambling and professional services," said Research author Daniel Bedford.
"This will allow compliance teams across a broader range of markets to identify high-risk transactions or customers and minimise the impact of financial crime."
Find out more about the new report: Global AML Systems Market 2024-2028
