Singapore Partners with Banks, Agencies to Use AI Against Financial Crime

(MENAFN) Singapore’s financial regulator is collaborating with banks and government agencies to strengthen the detection of financial crime through the use of artificial intelligence and machine learning, according to reports on Monday.

The Monetary Authority of Singapore (MAS) said it is working alongside the banking sector, the Government Technology Agency, and the Singapore Police Force to enhance tools used to identify suspicious financial activity.

As part of these efforts, MAS has introduced a Proof-of-Value initiative designed to test AI and machine learning methods for the early detection of scams. The program involves data contributions from five banks and aims to develop models capable of identifying high-risk transactions and accounts.

Authorities said earlier identification of potential fraud could enable faster response times and reduce financial losses for customers.

To support the project, MAS has set up a secure data-sharing system governed by strict industry protocols to ensure the protection of customer information. Data used in the initiative is kept confidential and secured using cryptographic methods.

Bank account numbers are also being anonymized through hashing, meaning only the originating bank can trace actual account details. Access is restricted to authorized personnel within a monitored environment, and all data will be deleted once the initiative concludes.

MAS added that the project could serve as a foundation for broader industry cooperation in applying AI-driven solutions to strengthen financial crime prevention.

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