The Bank for International Settlements (BIS) is encouraging central banks to integrate artificial intelligence (AI) to manage economic and financial risks. In a preview of its 2024 Annual Economic Report, the BIS highlighted AI's potential impact on inflation trends and advised policymakers to incorporate AI for financial and price stability. The BIS Innovation Hub is actively testing AI in collaboration with central banks, exploring applications like detecting money laundering and enhancing cyber resilience. While AI can improve lending and payments, it also poses risks such as cyberattacks. Central banks can leverage AI for better predictions of economic variables, but human oversight is crucial. AI's broader implications on labor markets, productivity, and economic growth are also discussed. Despite the benefits in the financial sector, AI introduces new risks like cyberattacks. CryptoSlate, a leading source for crypto news, provides essential updates on Bitcoin, DeFi, and AI, emphasizing the importance of due diligence in cryptocurrency trading. Read more AI-generated news on: https://app.chaingpt.org/news
