Artificial intelligence has replaced sustainability as the latest buzzword for European banks.

For the first time in six years, the region’s bank executives used the term “AI” more frequently than “ESG” in discussing full-year results, according to a Bloomberg News analysis. While “AI” references more than doubled, “ESG” mentions tumbled by two-thirds compared with the previous year, the analysis of earnings call transcripts shows.

The change underscores how European banks attach increasing importance to boosting their AI capabilities as rapid technological advancements offer potential productivity gains. Meanwhile, a US-led backlash against linking financial decisions to environmental, social, and governance (ESG) criteria has prompted several Wall Street lenders to scale back support for such initiatives.

The amount of money spent by US and European banks on AI could “almost triple” to $75 billion in 2028, Bloomberg Intelligence analyst Tomasz Noetzel said in a research note. “Banks’ improved efficiency as they transform the workforce and IT systems, as well automate repetitive tasks, are among the potential benefit of AI applications,” Noetzel wrote.

European lenders, including Intesa Sanpaolo SpA and BPER Banca SpA, have already announced concrete workforce reduction targets linked to AI, betting on the technology’s ability to improve efficiency and reduce costs.

The Bloomberg News analysis scanned the transcripts of full-year earnings calls by the STOXX 600 Banks Index members for matches of the terms “AI” and “ESG.”