and customer experience. ai tools can monitor market trends, spot risks and detect anomalies in real time, enhancing an institution's ability to manage risks effectively. on the customer side, ai allows for personalized financial services based on individual behaviours, improving satisfaction and engagement through tailored recommendations and solutions. new technologies always come with risks, however. let me briefly mention a few of these. one important risk is the lack of transparency and explainability. for example, ai models can hallucinate outcomes, and their decision - making process can be black boxes or simply too complex for humans to understand. we need to ensure there are necessary ethical guardrails in place, and human oversight of ai. cyber risks are also very relevant in the financial sector. as a concrete example, deepfake videos and images create issues in trust and reliability. the increasing use of 2 / 4 bis - central bankers'speeches ai systems also involves the risk of malicious contamination or poisoning of the underlying data or processes. rules governing various aspects of ai are also evolving. the eu's new regulation on artificial intelligence the ai act, which is in the process of being implemented is set to significantly impact the development and use of ai across society, including the work of financial supervisors. in addition to the eu ai act, numerous other eu - level legal instruments, national laws and soft law – guidelines, recommendations and so on already govern ai in the current landscape. the second session will also look at the balance of benefits and risks by considering questions such as : " what role will ai play in surveillance and risk management? ", " how can regulators ensure a level playing field for financial market participants when it comes to the use of ai? " and " in what ways can ai help institutions better predict market trends, mitigate risks and respond to financial crises? ". finally, the third session will concentrate on the impact of ai on financial supervision. how will ai change the work of financial supervisory authorities and central banks? central banks and supervisors all over the world are already investigating or implementing ai to improve everyday work. this is also the case here in finland. last year, the bank of finland and the finnish financial supervisory authority, the fin - fsa, launched a data economy initiative. this strategic initiative aims to greatly improve our ability to use data analytics for making better decisions, creating innovations and improving operational efficiency, and to be a frontrunner in leveraging new technologies and data in our daily work. although the challenge

reliance on ai systems requires not only a workforce that can adapt to these tools but also understand their implications. why then are we particularly excited about using ai? while we need to carefully manage the risks involved with these new technologies, we see great potential in them. not only can we enhance our work efficiency through automation, but new technologies and large datasets promise new insights that can help drive forward our understanding of the functioning of our economy, and improve supervisory work. the role of us humans in all this is and will be crucial. it is important that we fully utilize the deep expertise and various perspectives of our different organizations to meet the rising challenges of ai, data proliferation and analytics. only by fostering an open culture of innovation and investing in human capital and technology can we ensure that we keep pace with the evolving landscape around us. the ai and data revolution must be harnessed to improve europe's competitiveness and stability, as well as to enhance the resilience of the economy and financial system. thank you for your attention. once again, a warm welcome to all of you. i wish you a very beneficial, inspirational and thought - provoking seminar! 4 / 4 bis - central bankers'speeches