JAKARTA - Bank Indonesia (BI) Governor Perry Warjiyo said that artificial intelligence (AI) has the potential to increase productivity, efficiency, and innovation in the implementation of central bank and financial sector tasks in the medium and long term.
According to Perry, the implementation of AI at Bank Indonesia is carried out gradually through the strengthening of data and metadata quality, governance, human resource capabilities, and the development of various innovations, while maintaining data sovereignty and strategic infrastructure.
"The success of AI adoption does not only depend on technology, but also on the synergy between people, processes, and good governance," Perry said in an official statement, quoted by Antara, Saturday, July 25.
Perry attended the 31st Executive Meeting of East Asia-Pacific Central Banks (EMEAP) Governors' Meeting held on Thursday (23/7) and Friday in Singapore.
Through the meeting, the governors of the Central Bank of the Asia Pacific region agreed to strengthen the governance of the adoption of AI in the central bank.
The forum discussed the opportunities for using AI to improve the performance of the central bank, as well as the potential risks to the economy and the stability of the financial system.
Therefore, the governors emphasized the importance of the central bank's readiness in responding to global dynamics through an adaptive mix of policies, as well as ensuring that the adoption of AI is carried out responsibly through strengthening governance, supervision, and risk mitigation.
The forum also highlighted that the adoption of AI in central banks and the financial sector needs to be balanced with the strengthening of governance and supervisory frameworks.
This step is considered important to anticipate the increasing risk due to dependence on AI technology providers and cloud computing, as well as the inter-institutional and cross-country risk interrelationships.
In line with this, the Governors of the EMEAP Central Banks also agreed to strengthen regional collaboration to share experiences and best practices in the development of AI governance, increasing cyber resilience, and handling digital fraud and scams that are increasingly cross-country.
The 31st EMEAP meeting was attended by the Governors of the Central Banks of Australia, Hong Kong SAR, Indonesia, Japan, Korea, Malaysia, New Zealand, the Philippines, Singapore, and Thailand, as well as the Deputy Governors of the Central Banks of China and Hong Kong SAR. Furthermore, the 32nd EMEAP meeting in 2027 will be led by Bank Indonesia.
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