At the Temenos Community Forum in Madrid, Temenos, a global leader in banking technology, today launched Temenos FCM AI Agent, an advanced screening solution built with AI, real-time evaluation, and robust compliance frameworks to make compliance smarter, faster and more trusted. The solution is generally available (GA).

Temenos FCM AI Agent empowers organizations to detect, investigate, and prevent sanctions transgressions against global and domestic watchlists using advanced AI to reduce false positives and evaluate screening alerts in real time with augmenting human capabilities.

While industry average false positive rate for customer screening is 5-8%, live deployments show Temenos FCM AI Agent is achieving less than 2% false positives rates, boosting customer satisfaction, reducing compliance risk and cost, increasing employee productivity and driving more revenues.

Many financial institutions are already struggling with the cost of compliance, over 40% of which is tied to personnel—due to the heavy reliance on manual processes. Manual review processes not only strain compliance teams but also detract from their ability to focus on genuine threats, potentially weakening the bank’s ability to detect financial crime effectively.

Reducing false positives allows more payments to process without interruption and minimizes manual investigations, freeing compliance teams to focus on higher-risk cases. This improves customer satisfaction by preventing unnecessary delays, while ensuring more legitimate payments are processed in real time.

In addition, sanctions are being increasingly deployed as strategic policy tools, intensifying the need for real-time, accurate compliance. The rapid global expansion of instant payments – fueled by Open Banking and bank backed Account-to-Account (A2A) wallets – is further intensifying transaction screening demands for banks.

With a strong customer-focused approach, the FCM AI Agent was co-created with a European tier-1 bank as part of Temenos’ Design Partner Program.

Barb Morgan, Chief Product and Technology Officer, Temenos, said: “We’re excited to launch our new AI Agent for Financial Crime Mitigation, a proven solution co-created with a Tier-1 bank that empowers banks to stay ahead of increasingly complex compliance challenges. By using agentic AI for real-time decision-making, we’re helping our clients screen smarter, faster, and with greater confidence.”

Jerry Silva, Program Vice President at IDC, commented: “Agentic AI has the potential to significantly improve automation and reduce manual workloads across the whole institution. In addition to focusing on the efficiency and costs of sanctions screening and compliance for real-time payments, Temenos’s AI agent solution seems poised to address the critical problem of false positives, one of the biggest challenges in financial crime management.”

Temenos is a leading core banking vendor and one of the most trusted for Financial Crime Mitigation (FCM) solutions. Temenos FCM is entire product family which includes KYC Risk Scoring, AML Transaction monitoring and Payment fraud mitigation

Temenos FCM AI Agent is deployment agnostic, fulfilling the needs of the organizations to deploy on premises or Public or Private Cloud.