Connect with us

Artificial Intelligence (AI)

U.S. House Committee Launches AI Impact Analysis in Financial Sector

FSC’s bipartisan AI working group explores AI’s benefits in finance and housing, aligning with President Biden’s directives.

ShahZaib Ahmed

Published

on

U.S. House Committee Launches AI Impact Analysis in Financial Sector

A major step forward by the Financial Services Committee FSC of the US House of Representatives has been creating a bipartisan working group to examine how AI could advantage companies in the financial and housing sectors. FSC’s bipartisan Artificial intelligence (AI) working group explores AI’s benefits in finance and housing, aligning with President Biden’s directives.

This initiative, announced by FSC Chairman Representative Patrick McHenry and Representative Maxine Waters on January 11, 2024, builds on the previous work done by the Artificial Intelligence Task Force in the 116th and 117th Congresses.

Objectives and Focus Areas

The group aims to understand how AI reshapes various facets of financial services. This includes examining its influence on workforce development, innovation in financial products, fraud prevention strategies, compliance improvement, and the enhancement of regulatory tools.

Also Read: G7 to Introduce Code of Conduct For Artificial Intelligence (AI): Report

A critical part of their agenda is to review existing AI regulations, ensuring that new policies effectively weigh the technology’s potential benefits against its risks.

Distinguishing from Previous Initiatives

Unique from the group formed by the New Democratic Coalition in August 2023, the FSC’s AI working group is a bipartisan entity, including members from both Democratic and Republican parties. Led by Digital Assets, Financial Technology and Inclusion Subcommittee Chairman French Hill and Representative Stephen Lynch, this group signifies a collaborative approach to policy-making in technology.

Diverse Membership

The group boasts a diverse membership representing both major political parties. The Republicans are represented by Representatives McHenry, Hill, Young Kim, Mike Flood, Zach Nunn, and Erin Houchin. The Democrats have Representatives Waters, Lynch, Sylvia Garcia, Ayanna Pressley, Sean Casten, and Brittany Pettersen in the group.

Aligning with Presidential Directives

In line with President Joe Biden’s Executive Order issued on October 30, 2023, focusing on the safe development and use of AI, the group will also assess how these directives fit within the committee’s jurisdiction. This examination is pivotal for effectively integrating AI into financial sectors, balancing innovation with security and regulatory compliance.

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *