Singapore: MAS acts to promote responsible adoption of AI
Source: Asia Insurance Review | Dec 2019
The MAS is working with financial industry partners to create a framework for financial institutions to promote 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) that MAS co-created with the financial industry last year to strengthen internal governance around the application of AI and the management and use of data. Proper governance around the use of AIDA is critical to fostering trust and confidence in AIDA-driven decisions and financial services, the financial regulator says in a statement.
Veritas aims to provide financial institutions with a verifiable way to incorporate the FEAT principles into their AIDA solutions. It will comprise open source tools that can be applied to different business lines, such as retail banking and corporate finance, and in different markets. For a start, Veritas will focus on use cases in three areas: customer marketing, risk scoring, and fraud detection.
The Veritas consortium is currently made up of 17 members, comprising MAS, SGInnovate, EY and 14 financial institutions. The consortium will produce a report on its findings and conclusions in the second half of 2020. MAS welcomes other interested organisations to participate in the consortium.
The FEAT principles and Veritas are part of Singapore’s National AI Strategy, and help to build a progressive and trusted environment for AI adoption within the financial sector. A