UnionBank ramps up AI adoption, partners with Singapore’s MAS

MANILA, Philippines — Aboitiz-led Union Bank of the Philippines has partnered with the Monetary Authority of Singapore (MAS) to further push the adoption of artificial intelligence (AI) in the country.

Henry Aguda, chief technology and operations officer of UnionBank and chairman of UBX, said the partnership with the central bank of Singapore would help set international standards for the ethical use of AI.

“We aim to integrate these Veritas principles and framework, not just for the bank’s consumption, but also for the AI adoption in the Philippines. UnionBank believes that digital transformation can aid regulation technology, consumer data protection, and compliance with the law,” Aguda said.

David Hardoon, special advisor for AI of MAS, said good governance is essential to AI adoption in the financial industry.

“AI has the potential to transform financial services, but it must be used in a safe and responsible manner,” Hardoon said.

The MAS created a consortium of 17 international financial institutions, including UnionBank to create the framework for responsible use and adoption of Artificial Intelligence and Data Analytics (AIDA), and its proper governance to foster trust and confidence in financial services.

Known as the Veritas framework, these ethical use guidelines will set the bar in enabling financial institutions to evaluate and manage their respective AIDA-driven solutions based on fairness, ethics, accountability, and transparency (FEAT).

By implementing FEAT, Veritas paves the way for cross-border data protection compliance.

UnionBank, the only Philippine-based company in the consortium, co-creates Veritas with the MAS by sharing knowledge and expertise in how AIDA enables its financial crimes platform that uses AI for fraud detection.