In programmed I/O, the CPU has to babysit every single word transferred between the device and memory, it can't do anything else in the meantime.
DMA hands that job to a separate controller, so the CPU only steps in briefly at the start and end of the transfer, and is otherwise free to keep executing other instructions or processes while the transfer happens in the background.
That overlap, useful CPU work happening at the same time as an ongoing I/O transfer, is what's meant by increased concurrency, and it's the main reason DMA is preferred over programmed transfer.
So the correct answer is it improves system performance by increasing concurrency.