NATURAL LANGUAGE GENERATION AND ARTIFICIAL INTELLIGENCE IN FINANCIAL REPORTING: TRANSFORMING FINANCIAL DATA INTO STRATEGIC INSIGHTS FOR EXECUTIVE LEADERSHIP

Abstract

This article explores the innovative integration of Natural Language Generation (NLG) and Artificial Intelligence (AI) in financial reporting, spotlighting their transformative impact on turning financial data into strategic insights for executive leadership through automatic commentary generation. At the intersection of AI advancements and financial analysis, NLG emerges as a pivotal technology, enabling the automated transformation of complex financial datasets into narrative or commentary reports that are coherent, insightful, and accessible to decision-makers. The discussion extends to the mechanisms underlying NLG's functionality in financial reporting ranging from data interpretation and language processing to commentary generation and customization thereby enhancing report efficiency, accuracy, and accessibility. Through detailed exploration, this article articulates NLG's contributions to financial reporting commentary, such as improved efficiency, accuracy, scalability, and the personalized delivery of financial insights. It also addresses the challenges inherent in NLG application, including technical and ethical considerations, and the limitations of current technologies in capturing financial nuances. Looking forward, the article envisions a future where ongoing advancements in AI and machine learning further refine NLG's capabilities, offering even richer, more nuanced financial insights to support strategic decision-making at the highest levels of business leadership.