GFMA submitted a response to IOSCO’s consultation report on “Artificial Intelligence in Capital Markets: Use Cases, Risks, and Challenges.”
The response references key points from GFMA’s May 2024 letter to the global standard setters on this topic including that global authorities must apply and adapt proven existing standards and frameworks where applicable, and that as AI use cases evolve and develop, a technology-neutral, principles-based, and outcomes focused regulatory approach must be prioritized.
In the response, GFMA welcomes that the IOSCO report calls for coordination with “other international organizations, such as the FSB.” GFMA notes that since AI is a priority topic for each of the global standard setters, global coordination will especially be necessary to prevent potential regulatory fragmentation.
In addition to coordination between the global standard setters, GFMA also highlights the importance of direct engagement between the official sector and industry on this topic. Examples of this include roundtables between the official sector and industry across various regions, enhanced engagement with the IOSCO Affiliate Member Consultative Committee (AMCC), and establishment of a public and private sector advisory forum.
GFMA appreciates the opportunity to comment on the report and looks forward to engaging with IOSCO on this topic going forward.
– 11 April 2025 –
