PBOC Deputy Governor Lu Lei: AI Technology Brings New Risks Such as Algorithmic Black Boxes

Odaily News: Lu Lei, Deputy Governor of the People's Bank of China, delivered a speech at the China-ASEAN Financial Cooperation and Development Forum on the theme of "Deepening China-ASEAN Cooperation in Artificial Intelligence in the Financial Sector." He stated that the current generation of AI technologies, represented by large models and intelligent agents, serves as an important tool for empowering financial services while also introducing new types of risks such as algorithmic black boxes and model hallucinations. "In particular, AI can learn and assess the underlying logic of human behavior, but humans find it difficult to penetrate the internal decision-making processes of AI. This 'asymmetric understanding' between humans and AI may pose deep-seated challenges to the financial industry and highlights the importance of security governance," Lu Lei said. He expressed willingness to strengthen cooperation with ASEAN countries to jointly assess new financial risks derived from AI technology, exchange practical experience in model lifecycle management and algorithm risk prevention and control, improve security protection systems adapted to digital and intelligent development, and build a strong security barrier for "AI + Finance." (Financial Times)