The Bank for International Settlements (BIS) recently called on central banks to actively embrace artificial intelligence (AI) technology. Will this technology have a significant impact on the economic and financial system?

As an authoritative institution in the global financial field, the Bank for International Settlements recently emphasized the importance of AI technology in the financial field and called on central banks to make full use of the potential of AI to improve financial services, strengthen financial supervision and enhance financial stability.

Impact of AI on the economic and financial system

Improve the efficiency of financial services: AI technology can achieve efficient processing of financial services through automation and autonomous decision-making. For example, intelligent customer service systems can solve a large number of repetitive problems and provide fast and accurate customer support; AI algorithms can automatically analyze massive amounts of financial data to help investors make more informed decisions. Optimize risk management: AI technology can provide more accurate risk assessments through data analysis and predictive modeling. AI systems can monitor users' behavior and transaction data in real time, detect abnormal transaction behaviors in a timely manner, and prevent fraudulent activities; at the same time, AI can also perform risk modeling based on historical data to help financial institutions better manage credit risks and market risks. Impact on inflation dynamics: BIS pointed out that the popularization of AI will enhance the ability of enterprises to quickly adjust prices in response to changes in the overall economy, and this flexibility in price adjustment will further affect inflation dynamics. In other words, AI may make market prices more sensitive to supply and demand, thus posing new challenges to macroeconomic regulation. Strengthening anti-money laundering and compliance management: AI technology can help financial institutions better fulfill their anti-money laundering and compliance management responsibilities. AI systems can automatically analyze large amounts of transaction data and customer information, identify suspicious transactions and activities, and report them to regulators in a timely manner.