SINGAPORE (Nov 13): The Monetary Authority of Singapore (MAS) announced Wednesday it is working with financial industry partners to co-create a framework for the responsible adoption of Artificial Intelligence and Data Analytics (AIDA).
This framework, known as Veritas, will enable financial institutions to evaluate their AIDA-driven solutions against the principles of fairness, ethics, accountability and transparency (FEAT).
The Veritas framework was highlighted by Deputy Prime Minister Heng Swee Keat in his speech laying out Singapore’s National AI Strategy at the Singapore FinTech Festival and Singapore Week of Innovation and TeCHnology (SFF x SWITCH) 2019 on Wednesday.
The Veritas consortium is currently made up of 17 members, comprising MAS, SGInnovate, EY and 14 financial institutions. MAS says other interested organisations are welcome to participate in the consortium.
In a media release on Wednesday, the central bank says proper governance around the use of AIDA is critical to fostering trust and confidence in AIDA-driven decisions and financial services.
Comprising open source tools that can be applied to various industries and markets, Veritas aims to provide financial institutions with a verifiable way to incorporate the FEAT principles into their AIDA solutions.
For a start, the framework will focus on use cases in three areas: customer marketing, risk scoring, and fraud detection.
The Veritas consortium will produce a report on its findings and conclusions in the second half of 2020.
“AI has the potential to transform financial services, but it must be used in a safe and responsible manner. Good governance is essential to AI adoption in the financial industry,” says Dr David Hardoon, Special Advisor (Artificial Intelligence), MAS.
“With FEAT and Veritas, financial institutions will have the guideposts and toolkit to institute sound AI governance practices. This will pave the way for a vibrant and responsible AI-driven financial centre in Singapore,” he adds.
