SINGAPORE: The Monetary Authority of Singapore (MAS) announced on Monday (Apr 2) that it is developing a guide to promote responsible and ethical use of artificial intelligence (AI) and data analytics by financial institutions.
In a media release, MAS said that it will work with key industry stakeholders with the aim of completing the guide by the end of the year.
The guide will set out key principles and best practices to help financial institutions to "strengthen internal governance and reduce risks of data misuse".
MAS said it has also brought together a group of leaders and practitioners in data analytics in the financial sector to help in the process.
The Fairness, Ethics, Accountability and Transparency (FEAT) Committee, which consists of 10 members, is co-chaired by Mr Hsieh Fu Hua, the former chairman of UOB group, and Dr David Hardoon, the chief data officer of MAS.
The FEAT committee also includes V K Rajah, who is the senior counsel and member of Essex Court Chambers Duxton (Singapore Group Practice), and Teo Swee Lian, who is the non-executive independent director at Singtel and non-executive independent director at Avanda Investment Management. Both individuals will act as special advisors to the committee.
Other members include Raymond Au, the chief data scientist and head of Asia Lab at Allianz, Paul Cobban, the chief data and transformation officer at DBS, Shameek Kundu, the chief data officer at Standard Chartered Bank, Richard Lowe, the chief data officer at UOB, Donald MacDonald, the head of Group Customer Analytics and Decision at OCBC Bank and Kelvin Tan, the head of FinTech and Data at SGX.
"The guide would be very useful for the financial industry," said Mr Hsieh. "As the industry increasingly adopts AI and data analytics to serve their customers, they must also play their part to ensure that these technologies are used in a responsible manner."
Dr Hardoon said that while AI and data analytics have a huge potential to transform the industry for the better, they can also "potentially be misused".
"MAS looks forward to working with the industry to encourage innovative uses of these technologies while putting in place the right conditions for their ethical use based on the principles of fairness, accountability, and good governance," he said.
MAS has called for views and feedback from the industry on the proposed guide during the second quarter of this year and is working with the Infocomm Media Development Authority to "coordinate a broader understanding of AI governance across sectors".