Mobey Forum stands up expert working group to guide bank AI innovation with privacy protections
Digitally-focused banking and financial services industry group Mobey Forum has announced the formation of a new expert group which may guide further adoption of biometrics for digital financial services. The new Data Privacy in the Age of AI Expert Group brings together experts from multiple disciplines to help BFSI stakeholders balance data privacy, security, and artificial intelligence-based innovation.
The group is intended to determine how banks should navigate business, technical, and regulatory data management challenges for successful adoption of AI-driven processes, products and services, according to the announcement.
“The banking industry is on the verge of a huge wave of data-driven innovations that will transform the industry from the ground-up,” says Expert Group Chair, Amir Tabakovic, the CEO and founder of experiens.ai. “Ultimately, banks’ success will hinge on how well they can use, share and monetise their customers’ data. In response to increasingly stringent privacy and security regulations, banks and FIs are being forced to up their game. Not only do they need to continue to ensure the security of their customers’ sensitive information, they also need to maximise their use of it, to protect and extend their market share and collaborate with new players entering the market.”
Tabakovic notes that despite significant hype around AI in banking, for use cases to materialize data privacy challenges must be resolved. How to protect privacy during in-house testing or external application development, how to improve the privacy-utility trade-off for anonymous data while working with third parties and fintech startups, and the best approaches to keep privacy concerns from impeding AI and infrastructure innovation are identified as questions to be addressed by the group.
“There is still a perception that privacy is the adversary of innovation, especially on the scale required for AI,” he adds. “Through our new Expert Group, however, we hope to identify new approaches that will prove that banks and FIs can do both, ultimately supporting the creation of secure, data-driven AI services.”
‘’AI and data privacy are major development points for banks, financial institutions and fintechs, all of whom are facing similar challenges,” Mobey Forum Executive Director Elina Mattila comments. “Our Expert Groups are designed to enable members to freely exchange knowledge and experiences, in a bid to establish best practices and identify new solutions that can benefit everyone. We’re really excited to see where this new Expert Group takes us over the coming months.”
The Mobey Forum warned in a February report that banks are at risk of losing an opportunity in the digital ID space to tech giants.