Following the guidance issued by the Hong Kong Monetary Authority (HKMA) to authorized institutions (AIs) on use of artificial intelligence earlier this month (to read our previous blog, please click here), the HKMA has issued a further set of guiding principles to AIs, focusing on consumer protection, when adopting big data analytics and artificial intelligence (BDAI) applications within their businesses.
The guiding principles focus on four major areas:
- Governance and accountability: The board and senior management of AIs should remain accountable for all the BDAI-driven decisions and processes;
- Fairness: AIs should ensure that BDAI models produce objective, consistence, ethical and fair outcomes to customers;
- Transparency and disclosure: AIs should provide appropriate level of transparency to customers regarding their BDAI applications through proper, accurate and understandable disclosure; and
- Data privacy and protection: AIs should implement effective protection measures to safeguard customer data.
AIs should adopt a risk-based approach commensurate with the risks involved in their BDAI applications when applying these principles.
A copy of the principles can be accessed here.
