AI cut time but made little difference to output… credit loans in three days reached 1trillion won
The Bank of Korea analyzed that generative AI shortens working hours but that no increase in output has been confirmed. On the same day, the financial sector proposed expanding the model risk management framework to include AI. Credit loans increased by 7trillion won in three days, raising concerns among the authorities.1The Bank of Korea analyzed that generative AI shortens working hours but that no increase in output has been confirmed. On the same day, the financial sector proposed expanding the model risk management framework to include AI. Credit loans increased by trillion won in three days, raising concerns among the authorities.
The Bank of Korea7analyzed on the day that the use of generative artificial intelligence shortens working hours. The report stated that processing time had decreased for some tasks. However, it said there was still insufficient evidence that output or actual performance had increased.
The financial sector reported on the same day that the use of artificial intelligence was rapidly spreading. It proposed expanding the existing model risk management framework to include generative AI. The proposal includes broadening the scope of verification and monitoring for AI models.
The financial sector's proposal was based on the fact that AI has characteristics different from those of existing statistical models. The proponents said it was necessary to review AI's prediction process and results. They said expanding the management framework could strengthen risk identification and control.
Demand for short-term loans surged in the personal credit loan market. The headline said that personal credit loans had increased by 1trillion won in three days. The report said that the outstanding balance of personal credit loans across the financial sector had increased for the first time in 6months.
The report said that demand for investing with borrowed money had surged. It said that financial authorities were deliberating because of this trend. It was reported that the authorities had not yet announced specific response measures.
The three reports conveyed the views of various institutions and industry participants on the same day. They commonly raised major issues in the financial sector at the same time: the adoption of AI, discussions on expanded regulation, and the increase in household lending. Detailed materials and follow-up announcements from each presentation are expected to follow.
Sources: 연합뉴스 경제
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