Column by Ksenia Dementieva about the difficult path of technology in the Russian Federation

Artificial intelligence (AI) is becoming a basic technology in a wide range of industries – its application can be compared with the introduction of steam engines, electricity and then computers at one time, said the head of the Central Bank Elvira Nabiullina, opening the main session of Finopolis 2023.

None of the discussion participants had any objections to the need to develop AI; moreover, they agreed that Russia should be among the leaders here. In this sense, regulators (the Central Bank and the Ministry of Digital Development), as well as the heads of the largest banks, turned out to be much bolder than many foreign colleagues, market participants and scientists who signed an open letter about the dangers of AI in March.

Taking it for granted that there will be AI in Russia, and in the most ambitious sense, the session participants moved on to the details, in which the notorious devil manifested itself in the face of the financial issue. It didn’t arise only from Sberbank President German Gref, who decided everything for himself long ago: the group invests about $1 billion a year in AI (see “Kommersant” dated July 20). Moreover, for once, Sber turned out to be “ready to create and share.”

Other bankers, as it turned out, want, first of all, help and support, despite the forecast of profit for the sector in 2023 at the level of 3 trillion rubles. Thus, the head of VTB, Andrei Kostin, said that the bank’s budget for the next year provides for 160 billion rubles. investments in the development of information technology and AI. However, these expenses are deducted from the capital, he emphasized, asking Ms. Nabiullina to change the regulation (she chose to politely ignore the request). It is impossible to do without government support for technology, Andrei Kostin insisted, “not necessarily direct money, but measures of indirect support, measures in the form of government orders for key things must be done.”

The chief managing director of Alfa Bank, Vladimir Verkhoshinsky, apparently not particularly counting on direct government support, showed concern for Sberbank, which was ready to share, offering to leave him part of the dividends to cover the costs of AI development.

However, there was no one to evaluate the idea: government representatives from neither the Ministry of Finance nor the Ministry of Economy did not participate in the session. As a result, the bankers, having apparently realized the futility of requests for support for one of the most profitable sectors of the economy, agreed that at least they should not interfere. Therefore, market participants unanimously called for “not to stifle growing AI with regulation.” Representatives of the Central Bank and the Ministry of Digital Development (who also have work to do in other areas) favorably agreed with this. But bankers still shouldn’t relax. Elvira Nabiullina emphasized that the position will remain only as long as “AI does not create risks.”