The report sets out a framework to guide the use of AI in the financial sector, aiming to harness its potential while safeguarding against associated risks.
FinTech BizNews Service
Mumbai, August 13, 2025: In pursuance to the announcement made in the Statement on Developmental and Regulatory Policies released along with the Monetary Policy Statement dated December 06, 2024, the Reserve Bank of India had set up the committee to develop a Framework for Responsible and Ethical Enablement of Artificial Intelligence (FREE-AI) in the Financial Sector on December 26, 2024.
2. The Committee, after extensive deliberations with diverse stakeholders, has since submitted its report and the same is being placed on the RBI website.
3. The report sets out a framework to guide the use of AI in the financial sector, aiming to harness its potential while safeguarding against associated risks. The Committee has developed 7 Sutras to serve as the foundational principles for AI adoption. Guided by the 7 Sutras, the Committee has recommended a forward-looking approach, containing 26 actionable recommendations under six strategic pillars. The report envisions a financial ecosystem where encouraging innovation is in harmony, and not at odds, with mitigation of risk.
