AI Warns: Global Economic Recession Looming, Says Bank of England Governor
Bank of England Governor Andrew Bailey has warned that artificial intelligence (AI) could cause a global economic recession. In a letter to international finance ministers and central bank governors, Bailey expressed concerns about the rapid development and deployment of AI models.
The models are demonstrating increasingly sophisticated autonomy and problem-solving capabilities, as well as the ability to respond to threats, according to Bailey.
He warned that these models risk destabilizing the global financial system through cyber disruptions that could spread across jurisdictions. Bailey also noted that many jurisdictions lack protocols to manage AI development, distribution, and deployment at a pioneering level, increasing risks to the financial sector and beyond.