Artificial Intelligence and Data Privacy in the Financial Industry

This study explored an elaborate nexus that exist between artificial intelligence and data privacy in the financial industry. The importance of adhering to a multi-layered regulatory framework that includes global regulations such as the GDPR, industry-specific standards such as PCI DSS, and emerging AI-specific compliance measures were underscored. The impediments facing data collection and data usage, algorithmic bias, and the security of AI systems have been highlighted, emphasizing the need for transparency, ethical data practices, and robust cybersecurity measures. The study concludes that while artificial intelligence offers transformative potential for financial services, it also necessitates a cautious approach to privacy, confidentiality, protection and compliance. As the financial industry navigates this complex terrain, it must balance innovation with responsibility, ensuring that AI serves to empower rather than exploit, and to protect rather than compromise the privacy rights of individuals.

Keywords: Accountability, Artificial Intelligence, Data Privacy, Financial Industry.