“The guidelines aim to establish a set of expectations that are generally applicable across the financial sector, and may be applied in a proportionate manner – commensurate with the size and nature of FIs’ activities, use of AI, and their risk profiles,” it adds.
The Monetary Authority of Singapore (MAS) has issued a consultation paper proposing a set of guidelines on artificial risk management. The proposed guidelines seek to guide financial institutions (FIs) on the responsible use of AI in the financial sector and will apply to all FIs. It will cover different AI applications and technologies including generative AI (gen AI) and newer developments like AI agents.
“MAS recognises that AI can be applied to a wide range of use cases, and that the risks associated with different usage of AI may vary based on the scale, scope and business models of FIs,” says the central bank in its Nov 13 release.
