Bankers best-placed to win over public on artificial intelligence, ASIC boss Joe Longo says
The Australian Securities and Investments Commission has tasked the country’s banking industry with assuaging public distrust in artificial intelligence by proving it can be used for customer good.
But the watchdog also affirmed it’s in no rush to regulate the fast-moving technology.
A speech to be delivered by chair Joe Longo on Wednesday will set out the conundrum the corporate regulator faces in both trying to allow the purported benefits of AI to flourish, while managing its potential harms.
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By continuing you agree to our Terms and Privacy Policy.“Cutting-edge technology can’t leave your customers bleeding,” he will tell an Association Banking Association conference in Sydney.
“We’ve already seen that customer trust in AI and its potential to improve customer service is eroding. If banks get this wrong, we’re likely to see a significant setback in AI legitimacy and trust.”
Mr Lungo suggested as an example that banks might implement AI to help monitor vulnerable customers and ensure they aren’t being overcharged banking fees.
Mr Longo will also make the case that as “sophisticated operators”, banks have the right governance structures in place to “lead Australia’s AI revolution”, after a recent survey found only four in 10 Australians actually trust the technology.
“The latest research by RepTrak and KPMG shows that over the last 12 months, Australians’ trust in AI has declined,” he will say.
“And, since Australians interact with their banks in some form or other every day – if you get AI right, that will go a long way toward addressing Australians’ general hesitation around AI.”
ASIC’s present view is that it should not be rushing into targeted AI regulation, with Mr Longo saying the group plans to “see just how far” current frameworks will last as the technology develops.
Although he also warned that the watchdog was keeping a close eye on how AI was being used.
“We will take enforcement action where appropriate, where we see misconduct occurring. So yes, you will get in trouble when technology is not used responsibly,” he will say.
