Thomas Daniels

Published On: 23/05/2024
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Hong Kong Central Bank Examines AI's Impact on Banking Workforce
By Published On: 23/05/2024
Hong Kong,Hong Kong

The Hong Kong Monetary Authority (HKMA) is actively evaluating the influence of artificial intelligence (AI) on the banking sector’s workforce. As AI technology evolves, the central bank emphasizes the importance of preparing employees to “coexist with technology in the AI era,” according to HKMA Deputy Chief Executive Arthur Yuen.

On May 23, the HKMA encouraged financial institutions to develop workforce training and development strategies to address AI’s growing presence in banking. Yuen noted that some banks have already re-skilled their staff for new roles, citing instances where 2% of bank employees transitioned into positions such as wealth management, risk management, and compliance after completing training programs.

The HKMA updated its Supervisory Policy Manual to reflect the need for clear workforce development directions, urging banks to devise strategies that meet their evolving talent requirements and allocate resources for staff training. Yuen stressed the necessity of proactive planning to ensure employees can adapt to new technological advancements.

To further support the industry, the HKMA plans to study AI’s impact on banking job roles, providing insights to help financial institutions support employees in transitioning to new roles. Yuen highlighted the importance of sustainable talent development in the banking industry, acknowledging that the full impact of generative AI on traditional jobs is yet to be seen. Nevertheless, he remains optimistic that collaborative efforts will enable the sector to leverage technology benefits while mitigating labor market disruptions.

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