Banking Regulators Intensify Efforts to Address AI Risks

Global banking regulators are intensifying efforts to contain the rising risks associated with artificial intelligence, particularly the potential for cyberattacks on banks. Senior regulators in the U.S., including the Federal Reserve, are questioning banks about their use of advanced AI models, focusing on whether they employ Chinese technology. In Europe, supervisors are urging banks to enhance their recovery plans against AI-related risks, fearing that rapid developments could cause significant market disruptions.