risks. the key to addressing this issue is to embrace responsible innovation, with ethical considerations at the forefront of the innovation process. this approach should be backed by a robust ai governance framework that ensures proper governance and accountability, fair treatment to customers, transparency in decision - making, and strong data privacy measures. all these principles are critical to building customer trust and confidence in ai models. we have recently provided new guidance regarding the use of genai from a customer protection perspective. in particular, we have emphasised the importance of " human - in - the - loop ". this means that critical judgement and decisionmaking should remain in the hands of humans. we will continue to closely monitor the development of genai, and guide the industry in using it in a responsible, fair and ethical manner. finally, we should be aware of the broader implications of ai on the economy. ai is reshaping the way we work by automating repetitive and routine tasks. this has led to changes in the nature of certain traditional job roles, allowing employees to focus on higher - value work. at the same time, there is increasing demand for labour with ai knowledge. to adapt to these changes, it is crucial to upskill and reskill our workforce in the financial industry. we are urging banks to proactively plan for manpower development and training to meet these new skill requirements. to better support the industry, we are collaborating with banks on a capacity - building study for the second time. building on our first study, we will update the skill mapping exercise to identify potential skill shortages in the banking sector over the next five years, from 2026 to 2030. the findings will be published next year. we hope this study will help banks better understand their future training needs, enabling them to adjust their talent development strategies in a timely manner. 3 / 4 bis - central bankers'speeches looking ahead, there are still many unknowns surrounding the actual application of genai in financial services. but one thing is clear – ai has no boundaries ; it is advancing at an unprecedented speed ; and its impact is revolutionary. no single party – be it a public or private entity – can deal with all the challenges alone. we must foster public - private partnerships and international collaboration to leverage the collective wisdom of all stakeholders. with this, i would like to express my deepest gratitude to all the speakers at this conference for sharing their valuable insights and experiences on how ai, tokenisation, and other technologies are transforming the financial industry, and

three short years : the launch of the faster payment system ( fps ) ; the granting of eight virtual bank licences ; the adoption of the open api framework by the banks ; and the creation of a blockchain - based trade finance platform. these are major milestones so far on our fintech journey. and this is just the start. i am sure you are as confident as i am that more exciting things lie ahead. 9. having come this far, this is a good time to ask some questions. are we headed in the right direction? have we made any wrong turns – and what have we learned from them? this is a new journey for everyone, and after riding on this super highway for the last few years, i have three reflections that i would like to share with you. technology adoption is a bumpy road 10. first, we must bear in mind that technology adoption is a bumpy road. it is definitely not a smooth and straight path. to innovate, we have to do things that others have not done before – or have attempted, but failed at. we have to go through processes of trial and error, and make adjustments along the way. we might run into dead ends at times, because some really exciting ideas may simply be unfeasible. we might run into problems even when adopting mature technologies, whether from a programme glitch or a clash with established work processes. 1 / 5 bis central bankers'speeches 11. this is certainly our experience. soon after the launch of the fps in september last year, we started to see a few fraud cases coming in. these have nothing to do with the security design of the fps itself – it ’ s about creative fraudsters exploiting the speed and convenience of the system. they stole money from bank accounts using fake e - wallets opened with stolen identity documents of victims. so we had to take immediate action to stop certain fps functions, to allow time for the e - wallet operators and banks to enhance their security measures. 12. this was a setback to a new system trying to gain acceptance and trust from the public – and this unpleasant surprise came along. but thanks to the cooperation of banks and ewallet operators, we found the cause of the problem quickly and fixed it. we also communicated with the public – quickly and openly – in order to rebuild confidence in the fps. 13. understandably, this led to a brief drop in fps usage when