Bailey Warns of AI-Driven Cyber Threats to Global Financial System
Bank of England Governor Andrew Bailey has sounded a warning about the potential risks posed by advanced artificial intelligence (AI) to the global financial system. In a letter to G20 finance ministers and central bank governors, Bailey highlighted the increasing capabilities of AI models, which he said could lead to new cyber threats on an unprecedented scale.
Bailey emphasized that these 'frontier' AI models have demonstrated increasingly sophisticated autonomy and problem-solving abilities, as well as threat capabilities. He noted that global financial markets and services are highly interconnected, making them vulnerable to cyber disruption.
Many countries do not yet have protocols for managing the development, release, and deployment of advanced AI models, Bailey said. He warned that this could undermine market confidence system-wide due to concentrated third-party service providers.