ARTIFICIAL INTELLIGENCE FOR ASSESSING CORPORATE FINANCIAL DISTRESS: A REVIEW AND FUTURE RESEARCH DIRECTIONS
Abstract
Corporate financial distress threatens business continuity and financial stability. Traditional assessment methods may have difficulties capturing nonlinear relationships among financial indicators. This study reviews the application of artificial intelligence (AI) in corporate financial distress assessment, focusing on machine learning (ML), deep learning, ensemble, hybrid, and explainable AI approaches. The review identifies key advantages and challenges of AI-based models and highlights future directions for developing accurate, interpretable, and effective early-warning systems.
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