S&P Global Ratings stated in a report released on Monday that artificial intelligence is evolving from a strategic option into a key variable for credit ratings. The report noted that the divergence in adoption pace and governance maturity will determine the strength or weakness of financial institutions' credit quality, with lagging banks potentially facing additional pressure. According to S&P's June survey of 179 global financial institutions, respondents expect AI to drive cost reductions of up to 4% this year, rising to 6% to 8% by 2028. Miriam Fernandez, S&P's Head of AI Research and Applications, emphasized that the credit impact depends on an institution's ability to translate cost savings and additional revenue into sustainable profitability improvements while maintaining robust risk management.