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Generative Artificial Intelligence in Finance
Report

Generative Artificial Intelligence in Finance

Risk Considerations

IMF, 2023


Editorial Rating

7

Qualities

  • Innovative
  • Eye Opening
  • Well Structured

Recommendation

Generative AI may improve business decisions, and its application, if properly monitored, can make the components of finance – analysis, research, risk assessment – run more efficiently and effectively. But then again, as IMF professionals Ghiath Shabsigh and El Bachir Boukherouaa explain in this informative report, it may not. Systems can misuse data, producing biases and driving erroneous conclusions that could undermine public confidence in the financial system. Financial professionals will find this an important look at generative AI’s double-edged sword.

Take-Aways

  • Generative artificial intelligence (GenAI) can transform the financial sector.
  • Yet it carries significant risks in its applications.
  • Regulators must address GenAI’s hazards to maintain public confidence in the financial system.
     

About the Authors

Ghiath Shabsigh and El Bachir Boukherouaa are with the International Monetary Fund.