Artificial Intelligence, more commonly known by its acronym AI, has been around longer than many would realise. It is acknowledged to have first been mentioned back in the 1950's when the term was used to distinguish from the field of cybernetics (the science of communications and automatic control systems).
The Encyclopaedia Britannica defines AI as the ability of a digital computer or computer-controlled robots to perform tasks commonly associated with intelligent beings.
Numerous companies are now looking at or leveraging AI in their approach to Trade and Trade Finance, including the likes of Traydstream, Bolero, essDOCS, and the ICC.
Benefits are likely to be obtained in the following areas:
- Digitising and automating examination of documents under documentary credits
- Electronic images of paper documents
- Searchable digital documents
- Identifying data patterns
- Compliance checks
- Improving regulatory compliance
But many challenges still exist, not least around jurisdictional issues, outdated laws, risk management, standardisation, security, and the impact on staff and jobs.
We will revert to this subject in a later blog which will look at how this is being addressed by the Digitalisation Working Group of the ICC Banking Commission.