The Monetary Authority of Singapore (MAS) is working with financial industry partners to establish a framework for financial institutions to promote the adoption of AI and data analytics.
This framework is named Veritas and empowers institutions to evaluate their AI and data analytics-driven solutions against principles of fairness, ethics, accountability and transparency (FEAT). These principles were established by MAS last year to strengthen internal governance around the use of the technology.
Veritas will comprise of open source tools which can be applied to different business lines, such as retail banking and corporate finance, and in different markets.
Initially, the framework will focus on use cases in customer marketing, risk scoring and fraud detection. The goal is to establish trust for AI adoption in financial services.
The Veritas consortium is comprised of 17 members, including MAS, SGInnovate, EY and 14 other financial institutions.
A report will be produced by the consortium on findings and conclusions, in the second half of 2020. MAS is inviting other organizations to join the consortium.
MAS special advisor David Hardoon said, “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. With FEAT and Veritas, financial instituitons 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.”
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