Translated with AI from the Russian original.
On February 18, 2025, Michael Barr, the Federal Reserve's Vice Chair for Supervision, expressed concerns about the potential risks associated with the rapid development of generative artificial intelligence (AI). He noted that the high speed of AI decision-making could lead to "herd behavior" and risk concentration, which, in turn, could amplify volatility in financial markets.
Barr emphasized that, despite the significant benefits that AI can provide to the financial sector, it is necessary to carefully assess and manage the potential risks associated with its implementation. He called for the development of appropriate regulatory measures and standards to ensure the safe and responsible use of AI in the financial industry.
These statements reflect the growing concern of regulators worldwide regarding the impact of advanced technologies on the stability of financial systems and the need to develop comprehensive approaches to their regulation.
