The rise of the machines and financial stability

Insurers may need to consider providing cover for AI risk, says the Reserve Bank. (Image: Getty)

Mon, 05 May 2025

More work is needed to effectively contain the risks posed by the rapid acceleration of artificial intelligence adoption in financial services, the Reserve Bank of New Zealand said. According to the Reserve Bank of NZ (RBNZ), artificial intelligence (AI) presents both opportunities and risks to financial stability.“While its impact could be positive, especially in enhancing resilience, it could also introduce or amplify vulnerabilities,” Kerry Watt, director of financial stability assessment and strategy, said in a special arti...

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