THE AI IMPLICATION ON THE FINANCIAL SECTOR REGULATION AND REGULATORS

Abstract

Artificial intelligence (AI) is revolutionizing numerous industries, and the financial sector is no exception. Central banks, institutions of fundamental importance for the economic stability of a country, are increasingly looking to AI as a powerful tool to improve their activities and respond to the challenges of an ever-changing world. While artificial intelligence therefore represents a great opportunity for central banks, it is certainly essential to address its risks and develop an appropriate regulatory framework. This research therefore aims to explore how artificial intelligence is revolutionizing the way central banks operate. Through an in-depth analysis of current and future applications of AI, the benefits in terms of operational efficiency, improved economic forecasting and strengthening financial stability will be assessed. In addition, challenges related to AI implementation, such as data management, cybersecurity, and the impact on employment, will be discussed. &nbsp