Economic, financial and banking crises represent scenarios of extreme risk where managers are compelled to find adequate and effective solutions. In such circumstances, managers utilize all available techniques to predict and anticipate risks within a complex, dynamic and uncertain environment. Artificial intelligence (AI) has emerged as an indispensable tool in crafting action plans to stabilize organizations during these challenging times.

In this article, we explore the transformative role of artificial intelligence (AI) in enhancing financial risk management practices within the public sector. Faced with the increasing complexity of financial markets and the growing demand for transparency and efficiency in public finance management, traditional methods of risk identification and mitigation are proving inadequate