India’s central bank governor has warned of financial risks linked to AI dominance in finance, echoing concerns from global financial authorities.
The Reserve Bank of India (RBI) has expressed concerns about the impact of artificial intelligence on financial stability, joining other major monetary authorities in raising red flags.
Speaking at an event in New Delhi on Oct. 14, RBI Governor Shaktikanta Das highlighted potential risks posed by the increasing use of AI and machine learning in financial services, according to a Reuters report.
Das pointed to concentration risks stemming from the dominance of a few large technology providers, which could lead to systemic risks if AI systems fail or experience disruptions across the industry.
