KPMG Cyprus is placing artificial intelligence, digital tools and innovation more deeply into its work as businesses face increasingly complex regulatory, technological and sustainability demands, according to the firm.

After more than seven decades in Cyprus, KPMG now employs more than 750 professionals across six cities, offering services spanning Audit, Tax, Legal and Advisory while drawing on the wider expertise of its international network.

The firm said, however, that the bigger change is increasingly not what services are offered, but how they are delivered.

Technology is being used to automate parts of traditional professional work, analyse larger volumes of information and allow staff to spend more time on areas requiring judgement, risk assessment and interpretation.

One example is KPMG Clara, its digital audit platform, which incorporates data analytics, automation and artificial intelligence into the audit process.

According to KPMG, the technology is intended to make audits more efficient while giving professionals more scope to concentrate on analysis and professional judgement rather than repetitive processes.

AI is now becoming a larger part of that shift.

KPMG’s global collaboration with Anthropic, alongside the KPMG Digital Gateway Powered by Claude, is aimed at expanding the use of generative AI across areas including Tax, Legal and private-market investment work.

But the firm is also putting emphasis on the controls surrounding the technology.

KPMG said that as AI becomes more widely used inside businesses, questions around governance, security, transparency and human oversight are becoming just as important as the technology itself.

Its Trusted AI framework is designed around that principle, setting out how AI can be introduced while maintaining safeguards around its use.

The same push towards innovation is also visible in KPMG Cyprus’ work with start-ups.

Through the KPMG Startup Innovation Lab, the firm works with early-stage companies on areas including networking, business development and access to investors, while also using the programme as a way of examining new technologies and business ideas more closely.

That relationship between established professional services firms and younger technology companies has become increasingly important as businesses look for ways to adopt new tools without simply chasing every new trend.

Sustainability is another area in which KPMG said technology and data are taking on a larger role.

As ESG requirements become more closely tied to corporate strategy and reporting, the firm is supporting companies seeking to improve transparency, respond to new obligations and incorporate sustainability more directly into their operations.

The broader idea running through these areas, according to KPMG Cyprus, is that innovation has little value unless it produces a practical result.

That may mean using AI to change the way professional services are delivered, applying data more effectively, helping companies through digital transformation or giving younger businesses access to the networks and expertise they need to grow.

For KPMG Cyprus, the direction is towards combining human expertise with technology, rather than treating the two as competing forces.

And as the Cypriot business environment itself becomes more technology-driven and internationally connected, the firm is betting that professional services will increasingly be judged not simply on technical knowledge, but on how effectively that knowledge can be combined with new tools.