China has called for stronger risk-based, tiered management of the development and application of artificial intelligence at banking and insurance institutions, in order to effectively address the challenges posed by AI development while better serving the real economy and meeting the needs of the public.
The National Financial Regulatory Administration said on Thursday that it has issued guidelines on the safe development and application of AI in the banking and insurance sectors.
An official with the regulatory body said the guidelines not only aim to regulate the development and use of AI by banking and insurance institutions, but also effectively prevent and control risks arising from AI applications, promote the high-quality development of digital finance, advance the orderly integration of AI innovation with financial services, and guide the healthy and orderly development of AI use in the financial sector in a manner that is beneficial, safe and fair.
The guidelines require financial institutions to strengthen top-level planning and overall governance by establishing a comprehensive AI life cycle management framework and enhancing oversight of application scenarios and business processes. Institutions are encouraged to build, as needed, independently controllable, secure and efficient intelligent computing infrastructure. Large financial institutions with the necessary capabilities are encouraged to provide computing-power services to smaller institutions and support industry efforts to jointly build and share infrastructure.
