BIS Head Warns AI Boom Creates Financial Risks
The Bank for International Settlements warns that rapid artificial intelligence investments financed through debt and private credit pose new financial stability risks. While boosting productivity, the boom requires close scrutiny due to opaque funding and lofty valuations.
The rapid expansion of artificial intelligence is creating fresh financial stability risks, with infrastructure spending surging past $1 trillion. Bank for International Settlements head Pablo Hernandez de Cos warned of growing vulnerabilities.
