Against the backdrop of the Singapore Fintech Festival, Linklaters has partnered with Microsoft to launch white papers focused on two of the most important drivers in the era of digital transformation - artificial intelligence and open banking.
IDC and Microsoft recently conducted a survey across 15 Asia Pacific markets which showed that more than half (52 percent) of financial institutions believe they are already on their AI journey and have seen positive impacts across business functions, including better customer engagement, improved competitiveness, accelerated innovation and improved business intelligence. In Singapore, the Monetary Authority of Singapore (MAS) and Personal Data Protection Commission (PDPC) have both issued guidance documents that set out various considerations for how organisations can use AI in a responsible manner. In response to invitations by the MAS and PDPC to pilot their guidance, a cross-industry group was formed with Linklaters, Microsoft, Deutsche Bank, Standard Chartered Bank and Visa, who applied these two sets of responsible AI guidance to three specific use cases drawn from their practical experience in developing and deploying AI systems. The report “From Principles to Practice: Use Cases for Implementing Responsible AI in Financial Services”, co-authored by Linklaters, summarises key lessons from the application of responsible AI guidance to the practical cases that financial institutions need to know. Singapore-based TMT partner Adrian Fisher, commented “It is fantastic to have such a unique opportunity to collaborate with experts from legal, technology and financial services sectors on this white paper and use the insights and key learnings drawn from our cross-industry group to help translate the responsible AI principles into practice.”
Open banking, data sharing which relies on application programming interfaces (APIs), is increasingly supported by regulators across Asia and the rest of the world, either through mandatory regimes or overtly supportive environments. Linklaters partnered with Microsoft and Accenture to co-author “Open Banking: A Shared Opportunity”, a report exploring the various drivers behind open banking in Asia and the issues financial institutions and regulators will have to address to ensure that all participants – financial institutions, third-party providers, and consumers alike – can reap the benefits of open banking. The report also includes recommendations for the industry and regulators towards increased successful adoption of open banking. Financial regulation partner, Peiying Chua, who is based in the firm’s Singapore office, commented “Open banking looks to be the next wave of digital transformation in the financial services ecosystem, driven by regulatory support and customer behaviour. We are delighted to partner with Microsoft and Accenture to consider the shared opportunity which open banking presents, and the clear need for digitisation and cultural change while remaining compliant with regulatory requirements.” From Principles to Practice can be downloaded here, while Open Banking can be downloaded here.