Building the financial system of the future - trusted, connected and resilient

Good morning. The Global FinTech Festival, one of the largest of its kind, brings together experts to discuss the future of finance. Three key technologies are driving transformation: AI, tokenisation and quantum computing. While quantum computing is still years away, AI is advancing rapidly and adoption is spreading quickly. AI is already performing at expert levels in tasks such as coding, science and mathematics.

However, challenges remain in complex interpretation, strategic judgment and human interaction. Corporate adoption of AI is growing, but productivity gains are modest. As employees and organizations become better users of AI, productivity gains are expected to increase. Regulators must balance fostering innovation and ensuring safety and sustainability.

In Singapore, AI is widely adopted in areas like fraud detection, risk management and customer service. The goal is to spread these benefits to all institutions and achieve sustained productivity growth. MAS launched Pathfin.ai, a platform to share validated AI solutions across the industry. This can help smaller institutions lower costs and accelerate AI deployment.

AI can also be used to address systemic issues like fraud detection. MAS is collaborating with law enforcement and the banking industry to develop AI models for near-real-time detection. MAS has published a Gen AI risk framework, AI Risk Management Handbooks and guidelines for AI risk management to promote good governance and risk management practices.

The latest initiative, SAFR, focuses on safeguards for agentic finance at runtime to ensure accountability and oversight as AI agents take on more tasks. MAS sees these efforts as a global public good, and India is also making strides with its FREE-AI framework for responsible and ethical AI adoption.