Topic: Challenges to internal security through communication networks,
Q5. Analyse the risks posed by AI-driven cyber threats to the global monetary system. Examine measures required to strengthen resilience. (10 M)
Difficulty Level: Medium
Reference: TH
Why the question
To evaluate understanding of emerging technological risks to financial systems and assess preparedness of global monetary governance in the era of AI-driven cyber threats.Key Demand of the question
The question requires identifying major risks posed by AI-enabled cyber threats to the global monetary system and linking them to financial stability concerns. It also demands suggesting measures to enhance resilience through regulatory, technological and institutional mechanisms.Structure of the Answer:
Introduction
Briefly highlight the growing integration of AI in financial systems and the emergence of cybersecurity as a systemic risk to global monetary stability.Body
- Risks to monetary system: Indicate how AI-driven cyber threats can disrupt financial stability and critical infrastructure
- Measures for resilience: Highlight need for regulatory guardrails, technological safeguards and global cooperation
Conclusion
Underline the urgency of building a coordinated and resilient global financial architecture to address AI-driven risks.
