Digital PFM - Digital PFM

Today:

Website is dedicated to empowering PFM professionals with the necessary resources needed for effective Digital PFM. Website lists resources, technical notes, best practices, blogs, and news to enhance transparency, efficiency, and accountability in public finance using digital technologies. Whether you're a policymaker, practitioner, or researcher, website supports your journey toward smarter PFM.

About Digital PFM

PFM is being transformed by digital technologies, including AI, Machine Learning, and blockchain. AI, particularly in cognitive automation, plays a vital role in automating complex PFM tasks that require human-like decision-making, such as budget forecasting, anomaly detection, and compliance checks. AI/ML enhances decision-making and predictive analytics, while blockchain ensures transparency and security in transactions. Data analytics provides real-time insights, optimizing resource allocation.

Data governance remains crucial for AI, ensuring accuracy, consistency, and security across systems, which builds trust and compliance. Key components of digital PFM include digital budgeting, e-procurement, automated financial reporting, and Integrated Financial Management Information Systems (IFMIS). Additionally, Public Investment Management Information Systems (PIMIS), payroll, and other PFM IT systems enhance efficiency and accountability, creating a transparent and effective PFM ecosystem for governments.

US Department of Treasury: Managing Artificial Intelligence-Specific Cybersecurity Risks in the Financial Services Sector

The U.S. Department of the Treasury released a report addressing AI-specific cybersecurity and fraud risks in the financial services sector. The report, based on interviews with industry stakeholders, highlights the current use of AI in mitigating these risks, the challenges posed by emerging AI technologies, and best practices for managing AI-related threats. It emphasizes the need for collaboration across the financial sector, the importance of integrating AI risk management into existing frameworks, and the potential benefits of AI in enhancing cybersecurity and fraud detection. The report also discusses the regulatory landscape and the necessity for a common AI lexicon to improve understanding and communication.

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