The RBI plans to form a committee to ensure ethical AI use in financial services. It will address concerns like bias, data privacy, and decision transparency.
The Reserve Bank of India (RBI) has announced its plan to form a specialized committee to oversee the ethical use of Artificial Intelligence (AI) in financial services. This initiative aims to address critical challenges such as algorithmic bias, decision explainability, and data privacy – all of which are becoming increasingly relevant in the AI-driven financial sector.
The committee will comprise experts from various disciplines for a well-rounded approach to creating a comprehensive and adaptable framework that’s a good fit for the financial industry's dynamic requirements.
Governor Shaktikanta Das has previously emphasized the vulnerabilities introduced by the adoption of AI technologies, including increased risks of cyber-attacks and data breaches. This panel's formation features the RBI's commitment to mitigating such risks while developing trust and transparency in AI applications within financial services.
By taking proactive measures, the RBI seeks to set a precedent for ethical AI governance, paving the way for a more secure and equitable financial ecosystem.
