Connect with us

News

Artificial Intelligence Must Be Designed to Augment Human Ability and Opportunity

Published

on

As humanity enters the Fourth Industrial Revolution, development of artificial intelligence (AI) must be guided by one overarching principle – technology must augment, not replace, human capability and opportunity.

Experts speaking at an interactive session on artificial intelligence at the World Economic Forum’s Annual Meeting agreed that technology and access to technology must be democratized. They said it is essential to provide people with the relevant knowledge and skills to lay the groundwork for a more egalitarian and sustainable era of cognitive computing.

Ginni Rometty, Chairman, President and Chief Executive Officer at IBM Corporation, USA, which has taken the lead in cognitive computing within the information technology industry and has developed the advanced AI platform Watson, said transparency is imperative to develop trust in cognitive computing. Soon, everyone will be working with AI technologies and people will want to know how they were designed, by which experts and using which data. “Humans need to remain in control of it,” Rometty said, adding that it is imperative that technology be created for, by and with the people.

Panellists agreed that ethical and legal concerns must be factored in at the start of the design process, underlining the importance for customers, lawyers, ethicists, scientists and technology developers to work together.

Highlighting the need to democratize technology design, Joichi Ito, Director, Media Lab, Massachusetts Institute of Technology, USA, said it is worrying that the demographic in Silicon Valley consists of mostly white men. He gave the example of a face-recognition technology that failed to recognize dark faces, reflecting a lack of diversity among the engineers who designed it. “AI is still a bespoke art; the customer cannot imagine the tool yet,” he said, suggesting that stakeholders, including the customer, the lawyer and the ethicist, have a say in technology creation.

Satya Nadella, Chief Executive Officer at Microsoft Corporation, USA, said his organization is focusing on how to make technology broadly accessible. He cited the success of Microsoft’s Skype Translator, the speech-to-speech translation application available for free download. Speaking of the challenges that lie ahead, Nadella said many questions remain to be answered, such as how to fix responsibility for decisions made by algorithms that humans have not written, and whether the AI surplus that will be created will be shared equitably.

“Overall world GDP growth is not stellar,” Nadella said. “We actually need AI.” To ensure that AI and the Fourth Industrial Revolution help solve the pressing problems of today, such as climate change, education and drug discovery, and to ensure inclusive growth, it is important to help train people for the jobs of the future, he said. In a world with a surfeit of AI, human values such as common sense and empathy will be scarce. These are the values that the citizens of tomorrow would need most to make humanity the very best it can be, he added.

Ron Gutman, Founder and Chief Executive Officer of HealthTap, an online application that brings patients and doctors together, said AI will create new jobs that do not exist today. For instance, sensors and wearables provide so much data that it will become possible to move from reactive to proactive medicine, creating a new ecosystem of jobs.

Rometty highlighted her idea of “new collar” jobs, which pivots on the belief that the skills needed for tomorrow’s jobs are not just the high-end, high-technology skills that can only be acquired through a traditional college degree. Many jobs, such as those of cloud computing technicians and service delivery specialists, will need skills often obtained through vocational training or in non-traditional ways. She emphasized at the same time that everybody will need retraining.

Ito agreed, noting that everybody will have to acquire an understanding of AI, and education systems will have to be made more dynamic as technology will change rapidly.

Continue Reading
Comments

Finance

Credit Suisse to pay $475 million to U.S. and U.K. authorities

Published

on

Credit Suisse Group AG has agreed to pay nearly $475 million to U.S. and U.K authorities, including nearly $100 million to the Securities and Exchange Commission, for fraudulently misleading investors and violating the Foreign Corrupt Practices Act (FCPA) in a scheme involving two bond offerings and a syndicated loan that raised funds on behalf of state-owned entities in Mozambique.

According to the SEC’s order, these transactions that raised over $1 billion were used to perpetrate a hidden debt scheme, pay kickbacks to now-indicted former Credit Suisse investment bankers along with their intermediaries, and bribe corrupt Mozambique government officials. The SEC’s order finds that the offering materials created and distributed to investors by Credit Suisse hid the underlying corruption and falsely disclosed that the proceeds would help develop Mozambique’s tuna fishing industry. Credit Suisse failed to disclose the full extent and nature of Mozambique’s indebtedness and the risk of default arising from these transactions.

The SEC’s order also finds that the scheme resulted from Credit Suisse’s deficient internal accounting controls, which failed to properly address significant and known risks concerning bribery.

“When it comes to cross-border securities law violations, the SEC will continue to work collaboratively with overseas law enforcement and regulatory agencies to fulfill its Enforcement mission,” said Gurbir S. Grewal, Director of the SEC’s Division of Enforcement. “Our action against Credit Suisse today is yet another example of our close and successful coordination with counterparts in Europe and Asia.”

“Credit Suisse provided investors with incomplete and misleading disclosures despite being uniquely positioned to understand the full extent of Mozambique’s mounting debt and serious risk of default based on its prior lending arrangements,” said Anita B. Bandy, Associate Director of the SEC’s Division of Enforcement. “The massive offering fraud was also a consequence of the bank’s significant lapses in internal accounting controls and repeated failure to respond to corruption risks.”

A London-based subsidiary of Russian bank VTB separately agreed to pay more than $6 million to settle SEC charges related to its role in misleading investors in a second 2016 bond offering. According to the SEC’s order, the second offering as structured by VTB Capital and Credit Suisse allowed investors to exchange their notes in an earlier bond offering for new sovereign bonds issued directly by the government of Mozambique. But the SEC found that the offering materials distributed and marketed by Credit Suisse and VTB Capital failed to disclose the true nature of Mozambique’s debt and the high risk of default on the bonds. The offering materials further failed to disclose Credit Suisse’s discovery that significant funds from the earlier offering had been diverted away from the intended use of proceeds that was disclosed to investors. Mozambique later defaulted on the financings after the full extent of “secret debt” was revealed.

The SEC’s order against Credit Suisse finds that it violated antifraud provisions as well as internal accounting controls and books and records provisions of the federal securities laws. Credit Suisse agreed to pay disgorgement and interest totaling more than $34 million and a penalty of $65 million to the SEC. As part of coordinated resolutions, the U.S. Department of Justice imposed a $247 million criminal fine, with Credit Suisse paying, after crediting, $175 million, and Credit Suisse also agreed to pay over $200 million in a penalty as part of a settled action with the United Kingdom’s Financial Conduct Authority.

VTB Capital consented to an SEC order finding that it violated negligence-based antifraud provisions of the federal securities laws. Without admitting or denying the findings, VTB Capital agreed to pay over $2.4 million in disgorgement and interest along with a $4 million penalty.

The SEC’s investigation was conducted by Lesley B. Atkins and Douglas C. McAllister with assistance from Wendy Kong of the Office of Investigative and Market Analytics, Carlos Costa-Rodriguez of the Office of International Affairs, and supervisory trial counsel Tom Bednar. The case was supervised by Ms. Bandy. The SEC appreciates the assistance of the U.S. Department of Justice’s Money Laundering and Asset Recovery Section and Fraud Section, the U.S. Attorney’s Office for the Eastern District of New York, the United Kingdom’s Financial Conduct Authority, the Swiss Financial Market Supervisory Authority, and the United Arab Emirates Securities and Commodities Authority.

Continue Reading

Development

Iraq: An Urgent Call for Education Reforms to Ensure Learning for All Children

Published

on

A girl student in Basra, Iraq, who benefits from a UNICEF/WFP education stipend programme. UNICEF

Learning levels in Iraq are among the lowest in the Middle East & North Africa (MENA) region and are likely to decline even further because of the impact the COVID-19 pandemic has had on education service delivery, including prolonged school closures.

These low learning levels are putting the future of Iraqi children and the country at risk. A new World Bank report says that while, now more than ever, investments are needed in education to recover lost learning and turn crisis into opportunity, these investments must be accompanied by a comprehensive reform agenda that focuses the system on learning outcomes and builds a more resilient education system for all children. 

The World Bank Group’s new report, Building Forward Better to Ensure Learning for All Children in Iraq: An Education Reform Path, builds on key priorities in education recently identified in the Government of Iraq’s White Paper and the World Bank Group’s Addressing the Human Capital Crisis: A Public Expenditure Review for Human Development Sectors in Iraq report, and provides actionable reform recommendations to boost learning and skills.

Human capital is essential to achieve sustainable and inclusive economic growth. However, according to the World Bank’s 2020 Human Capital Index (HCI), a child born in Iraq today will reach, on average, only 41% of their potential productivity when they grow up. 

At the heart of Iraq’s human capital crisis is a learning crisis, with far-reaching implications. Iraq’s poor performance on the HCI is largely attributed to its low learning levels. COVID-19 has led to intermittent school closures across Iraq, impacting more than 11 million Iraqi students since February 2020. This report highlights that, with schools closed over 75% of the time and opportunities for remote learning limited and unequal, Iraqi children are facing another reduction of learning‑adjusted years of schooling. Effectively, students in Iraq are facing more than a “lost year” of learning. 

Iraq can use lessons learned from the current health crisis, turn recovery into opportunity, and “build forward better,” to ensure it provides learning opportunities for all Iraqi children especially its poorest and most vulnerable children” said Saroj Kumar Jha, World Bank Mashreq Regional Director. “The World Bank is ready to support Iraq in building a more equitable and resilient post-COVID-19 education system that ensures learning for all children and generates the dividends for faster and more inclusive growth”.  

The report Building Forward Better to Ensure Learning for All Children in Iraq: An Education Reform Path puts forward for discussion sector-wide reform recommendations, focusing on immediate crisis response as well as medium and long-term needs across six key strategic areas:  

1. Engaging in an Emergency Crisis response through the mitigation of immediate learning loss and prevention of further dropouts.

2. Improving foundational skills to set a trajectory for learning through improved learning & teaching materials and strengthened teacher practices with a focus on learning for all children.

3. Focusing on the most urgently needed investments, while ensuring better utilization of resources.

4. Improving the governance of the education sector and promoting evidence‑based decision‑making.

5. Developing and implementing an education sector strategy that focuses on learning and “building forward better”.

6. Aligning skills with labor market needs through targeted programs and reforms.

Continue Reading

Development

More Funding for Business and Trade to Help Lao PDR Recover from Pandemic

Published

on

The World Bank and the Government of Lao PDR have agreed to scale up a Competitiveness and Trade Project that will improve the ability of businesses to recover from the economic effects of COVID-19 as part of the government’s emergency response to the pandemic. The additional financing will provide a US$6.5 million grant through the Lao Competitiveness and Trade Multi-Donor Trust Fund supported by Australia, Ireland, and the United States.

The extra funding follows a request by the Ministry of Industry and Commerce for additional resources to help the government and private sector respond to the challenges posed by COVID-19 and related restrictions. The Lao economy, which had already been slowing since 2018 following floods, drought and crop disease outbreaks, has been hit badly by the pandemic since early 2020, causing poverty to rise by an estimated 4.4 percentage points.

This additional financing complements the government’s approach of providing rapid and direct relief to vulnerable firms and to adjusting government services to the effects of COVID-19. Helping viable businesses to survive and grow will help them maintain and create jobs, thereby driving economic recovery.

The ministry has been implementing the original Lao PDR Competitiveness and Trade Project since late 2018 with $13 million of credit and grants from the World Bank and the trust fund. The project works to improve the processes required to start and operate a business, and to reduce the costs of doing business in Laos. Measures to lower trade costs and facilitate trade flows include streamlining regulations to reduce the time that goods spend at borders. Business Assistance Facility grants are available to help companies improve their competitiveness, while the project also supports improved policy making and transparency, along with stronger public-private policy dialogue.

According to H.E. Somchith Inthamith, Deputy Minister of Industry and Commerce, “the new financing will be used to scale up and extend activities under the original project, such as decreasing the time required for goods to clear customs, and increasing the ability of our producers to connect to markets. Additional resources will be used to help new Lao firms set up, and aid existing companies seeking grants to mitigate the impact of COVID-19”.

Mariam Sherman, Country Director for the World Bank in Myanmar, Cambodia, and Laos, said that over a year into the COVID-19 pandemic, the country has faced significant economic stress, especially considering the effects of the crisis on important trade partners. “This project has been prepared with urgency”, she said. “It can help the Lao government accelerate policy changes and regulatory reforms that will improve the ease of doing business, facilitate trade, and support company competitiveness. Such reforms will help Lao firms weather shocks, increase their ability to do business on the ground, and provide access to international markets for necessary inputs and outputs”.

The Lao Competitiveness and Trade Multi-Donor Trust Fund is a continuing effort to improve the efficiency of development assistance for trade in the Lao PDR, by pooling resources from the World Bank, Australia, and Ireland for increased efficiency of implementation, reduced transactions costs and greater impact on-the-ground.

Since the start of the COVID-19 pandemic, the World Bank Group has committed over $125 billion to fight the health, economic, and social impacts of the pandemic, the fastest and largest crisis response in its history. The financing is helping more than 100 countries strengthen pandemic preparedness, protect the poor and jobs, and jump start a climate-friendly recovery. The Bank is also providing $12 billion to help low- and middle-income countries purchase and distribute COVID-19 vaccines, tests, and treatments.

Continue Reading

Publications

Latest

Americas2 hours ago

Iran poll contains different messages for Biden and Raisi

“It’s the economy, stupid.” That is the message of a just-published survey of Iranian public opinion. However, the substance of...

Economy4 hours ago

The Blazing Revival of Bitcoin: BITO ETF Debuts as the Second-Highest Traded Fund

It seems like bitcoin is as resilient as a relentless pandemic: persistent and refusing to stay down. Not long ago,...

Finance6 hours ago

Credit Suisse to pay $475 million to U.S. and U.K. authorities

Credit Suisse Group AG has agreed to pay nearly $475 million to U.S. and U.K authorities, including nearly $100 million...

Americas8 hours ago

Gallup: World’s Approval of U.S. Govt. Restored to Obama’s Record High

On October 19th, Gallup issued their “2021 Rating World Leaders” report and finds that “Six months into the first year...

Science & Technology10 hours ago

China beats the USA in Artificial Intelligence and international awards

The incoming US Secretary of the Air Force said that China was winning the battle of Artificial Intelligence over the...

Development12 hours ago

Iraq: An Urgent Call for Education Reforms to Ensure Learning for All Children

Learning levels in Iraq are among the lowest in the Middle East & North Africa (MENA) region and are likely...

Middle East14 hours ago

Breaking The Line of the Israel-Palestine Conflict

The conflict between Israel-Palestine is a prolonged conflict and has become a major problem, especially in the Middle East region....

Trending