Lujiazui Forum: Speakers call for urgent AI regulation in the finance sector

Speakers at the Lujiazui Forum in Shanghai emphasized the need for robust risk control and stringent regulation to integrate AI technologies into the finance sector safely.

This cautious approach to the industry's rising generative AI wave encompasses critical areas such as investment management, cross-border payments, and global trade.

On Thursday, Goldman Sachs, PayPal, and SWIFT representatives discussed the transformative opportunities and risks of AI, particularly powerful applications like ChatGPT and DeepSeek, in the financial landscape.

Data privacy, Internet fraud, and systemic hazards were frequently mentioned. Participants stressed that AI provides efficiency gains and creativity, but responsible adoption and long-term stability require a deliberate and controlled approach.

Over 500 Chinese banks and financial institutions are members of SWIFT, a global financial messaging network that processes 50 million transaction messages daily.

SWIFT Asia CEO Kevin Wong told the gathering that the organization is establishing an AI policy framework. This approach promotes "responsible, collaborative, and scalable" AI through openness, fairness, and interpretability.

Kevin D Sneader, Goldman Sachs' President of Asia Pacific excluding Japan, described AI adoption in the finance industry as being in its "initial stage," with decisive "killer applications" and regulations still to come.

However, he noted that models such as ChatGPT and DeepSeek have already begun to transform certain sectors of the industry.

Speakers agreed that the construction of fundamental AI infrastructure, along with standardized legislation, is urgently needed across all areas to support the safe and equitable advancement of AI in finance.