##ourcing risks associated with these cloud service providers or csps. but with cloud computing, these outsourcing risks are much larger, given how much of a financial institution ’ s data and processing functions rely on csps. financial institutions have less knowledge, let alone control, of where their data are stored in a cloud computing infrastructure spanning several different jurisdictions. data breach or loss might occur due to a natural disaster, targeted attack, or poor security processes at the csps. the outsourcing risk is compounded by concentration risk. the top 4 csps in the world had a market share of 80 % last year. about 25 % of the core banking systems of global systemically important banks or g - sibs is 5 / 9 bis central bankers'speeches now residing on the cloud. a large supplier of cloud services can potentially become a single point of failure when many financial institutions rely on them. the regulatory response to cloud computing has taken two forms. first, regulators around the world have issued regulations or guidance on the management of outsourcing risks pertaining to cloud services. the monetary authority of singapore and the uk financial conduct authority were among the first regulators to do so, as early as 2013. second, the jurisdictions where these csps operate from have begun to exercise regulatory oversight over them. in the us, the cloud services utility agency, or csua, was formed in 2024 with the mandate of regulating csps, working closely with the us federal reserve system. i am pleased that the federal reserve bank of san francisco has been designated as the lead regulatory co - ordinator with the csua, as two of the four globally dominant csps are based in california. dealing with artificial intelligence the use of ai has swept across the financial services sector in recent years. banks are benefitting from ai through better customer insights, increased productivity, and cost savings. ai applications range from customised financial services to enhanced risk management and regulatory compliance. but the growing application of ai has also introduced new risks and challenges for regulators. foremost are concerns about market disruption and financial instability caused by runaway ai trading algorithms. the global flash crash of august 2022 demonstrated the contagion risks that multiple ai trading programmes “ learning ” from one another can precipitate. when an ai trading algorithm went amok and caused the failure of us hedge fund smart money, ai traders across america, europe, and asia went into a massive risk - off mode, causing turbulence not only in equities but

year. the recommendations from the stakeholders meeting were then sent to the fsdp steering committee in april this year. this committee endorsed the report and it is this report which is being launched today as the national strategy on financial education for zambia. once launched, it will be implemented in earnest. honourable ministers, the activities that have been carried out under this programme have been made possible by the very generous financial support extended throughout the different phases of the programme by the imf, world bank, dfid, sida and the government of the republic of zambia. of course the three regulators, boz, pia, and sec have also done their bit by seconding personnel to the fsdp secretariat and taking responsibility for the financial obligations entailed. i want to thank all of them for their commitment and dedication. it is now my singular honour and privilege to call upon the deputy minister of finance, honourable miles sampa, mp to formally launch the national strategy on financial education for zambia. thank you. bis central bankers ’ speeches