LONDON (Reuters) -Global financial regulators have laid out plans for closer monitoring of the risks as banks and other parts of the financial industry ramp up the use of artificial intelligence.
Global financial watchdogs to ramp up monitoring of AI
Monitoring AI Risks in the Financial Sector
LONDON (Reuters) -Global financial regulators have laid out plans for closer monitoring of the risks as banks and other parts of the financial industry ramp up the use of artificial intelligence.
Concerns Over AI Model Uniformity
Concerns raised by authorities include that too many institutions end up using the same AI models and specialised hardware, which could lead to herd-like behaviour.
Urgent Need for Upgraded Capabilities
"This heavy reliance can create vulnerabilities if there are few alternatives available," the report by the Financial Stability Board, the G20's risk watchdog, said.
A separate study published by central bank umbrella group, the Bank for International Settlements, said there was an "urgent need" for central banks, financial regulators and supervisory authorities to "raise their game" in relation to AI.
"There is a need to upgrade their capabilities both as informed observers of the effects of technological advancements and as users of the technology itself," the BIS said.
(Reporting by Marc JonesEditing by Mark Potter)
