The OCC issued a supervisory framework designed to support examiners in evaluating banks’ use of artificial intelligence in normal-course business activities.
Details: The OCC said:
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It has instructed examiners that they should tailor their examinations to bank size, complexity, and risk profile, proportionate to the nature, consequences, autonomy, and complexity of the bank's AI use cases.
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It intends to update the guide as the technology, use cases, and supervisory understanding change and mature.
CSBS Framework: The Conference of State Bank Supervisors in September released a resource to support state examiners in assessing the use and risks of AI at state-chartered banks and state-licensed nonbank financial institutions.
ICBA View: With increasing convergence in supervisory guidance around AI, ICBA will continue to engage federal and state agencies to ensure the frameworks translate into consistent, proportionate examination expectations without imposing duplicative compliance burdens on community banks.