Reserve Bank of India (RBI) Governor Shaktikanta Das highlighted some concerns related to Artificial Intelligence (AI) in a recent speech in Bengaluru. At the Inaugural Address at Global Conference on DPI and Emerging Technologies, RBI Governor said, 'Such advancements, however, come with serious challenges. Data privacy concerns arise from handling vast volumes of personal information. Ethical AI governance is essential to ensure fairness and prevention of bias'.
Das said, 'Financial institutions must ensure that AI models are explainable, i.e., ability to explain why certain results are produced. AI technology can also be misused to spread misinformation, potentially causing severe damage and disruption to DPIs as well as other digital systems'.
He said, 'they can also damage the reputation and operations of financial institutions'.