Taiwan’s FSC Sets AI Oversight Priorities and Advances Local Financial LLM

Taiwan’s Financial Supervisory Commission is focusing its oversight of AI adoption in the financial sector on risk management, data governance, cybersecurity and fair treatment of customers, as it seeks to balance financial innovation with consumer rights and information security. The industry relies heavily on regulation and specialized terminology, making general-purpose models difficult to apply directly. A locally developed financial large language model is therefore seen as critical infrastructure for strengthening compliance, customer service and fraud prevention.

The FSC promoted the establishment of a fintech industry alliance in 2025 and launched Taiwan’s financial large language model project, FinLLM. A total of 16 financial institutions are jointly developing a model trained on Taiwan’s financial regulations and industry knowledge. A lightweight version was scheduled to launch first by the end of 2025, with applications later expanding to compliance, internal operations, customer service and AI-powered fraud prevention.