AI key to boosting S’pore’s edge as financial hub: Josephine Teo

Artificial intelligence (AI) will be key to strengthening Singapore’s competitive advantage as a leading financial hub as companies here seek to serve a wider client base in a growing region.

- Sarah Koh

Apart from adopting AI for work processes, this also includes continuously improving the guard rails against risks associated with the technology, said Minister for Digital Development and Information Josephine Teo at a media doorstop interview on Oct 6.

The risks can come in the form of potentially costly mistakes introduced by AI applications that make business recommendations, or biased assessments that can lead to discriminatory practices, said Mrs Teo.

"These types of risks are not unique to the use of AI in financial services, (but) what we have done in Singapore is to make companies more aware of these risks to begin with," she added, citing governance frameworks and software toolkits that have been introduced in recent years, such as Project Moonshot.

Launched in 2024, Project Moonshot allows app developers to address safety and security challenges associated with large language models, which form the base of many generative AI-driven solutions.

Developed by the AI Verify Foundation and Infocomm Media Development Authority, it also allows businesses to test whether applications can be manipulated into “misbehaving”, such as saying anything inappropriate or producing violent content.