How Digital Infrastructure Improves Government Services

The G7 Toolkit for Artificial Intelligence in the Public Sector, prepared by the OECD.AI and UNESCO, provides a structured framework for guiding governments in the responsible use of AI and aims to balance the opportunities & risks of AI across public services. ✅ a resource for public officials seeking to leverage AI while balancing risks. It emphasizes ethical, human-centric development w/appropriate governance frameworks, transparency,& public trust. ✅ promotes collaborative/flexible strategies to ensure AI's positive societal impact. ✅will influence policy decisions as governments aim to make public sectors more efficient, responsive, & accountable through AI. Key Insights/Recommendations: 𝐆𝐨𝐯𝐞𝐫𝐧𝐚𝐧𝐜𝐞 & 𝐍𝐚𝐭𝐢𝐨𝐧𝐚𝐥 𝐒𝐭𝐫𝐚𝐭𝐞𝐠𝐢𝐞𝐬: ➡️importance of national AI strategies that integrate infrastructure, data governance, & ethical guidelines. ➡️ different G7 countries adopt diverse governance structures—some opt for decentralized governance; others have a single leading institution coordinating AI efforts. 𝐁𝐞𝐧𝐞𝐟𝐢𝐭𝐬 & 𝐂𝐡𝐚𝐥𝐥𝐞𝐧𝐠𝐞𝐬 ➡️ AI can enhance public services, policymaking efficiency, & transparency, but governments to address concerns around security, privacy, bias, & misuse. ➡️ AI usage in areas like healthcare, welfare, & administrative efficiency demonstrates its potential; ethical risks like discrimination or lack of transparency are a challenge. 𝐄𝐭𝐡𝐢𝐜𝐚𝐥 𝐆𝐮𝐢𝐝𝐞𝐥𝐢𝐧𝐞𝐬 & 𝐅𝐫𝐚𝐦𝐞𝐰𝐨𝐫𝐤𝐬 ➡️ focus on human-centric AI development while ensuring fairness, transparency, & privacy. ➡️Some members have adopted additional frameworks like algorithmic transparency standards & impact assessments to govern AI's role in decision-making. 𝐏𝐮𝐛𝐥𝐢𝐜 𝐒𝐞𝐜𝐭𝐨𝐫 𝐈𝐦𝐩𝐥𝐞𝐦𝐞𝐧𝐭𝐚𝐭𝐢𝐨𝐧 ➡️provides a phased roadmap for developing AI solutions—from framing the problem, prototyping, & piloting solutions to scaling up and monitoring their outcomes. ➡️ engagement + stakeholder input is critical throughout this journey to ensure user needs are met & trust is built. 𝐄𝐱𝐚𝐦𝐩𝐥𝐞𝐬 𝐨𝐟 𝐀𝐈 𝐢𝐧 𝐔𝐬𝐞 ➡️Use cases include AI tools in policy drafting, public service automation, & fraud prevention. The UK’s Algorithmic Transparency Recording Standard (ATRS) and Canada's AI impact assessments serve as examples of operational frameworks. 𝐃𝐚𝐭𝐚 & 𝐈𝐧𝐟𝐫𝐚𝐬𝐭𝐫𝐮𝐜𝐭𝐮𝐫𝐞: ➡️G7 members to open up government datasets & ensure interoperability. ➡️Countries are investing in technical infrastructure to support digital transformation, such as shared data centers and cloud platforms. 𝐅𝐮𝐭𝐮𝐫𝐞 𝐎𝐮𝐭𝐥𝐨𝐨𝐤 & 𝐈𝐧𝐭𝐞𝐫𝐧𝐚𝐭𝐢𝐨𝐧𝐚𝐥 𝐂𝐨𝐥𝐥𝐚𝐛𝐨𝐫𝐚𝐭𝐢𝐨𝐧: ➡️ importance of collaboration across G7 members & international bodies like the EU and Global Partnership on Artificial Intelligence (GPAI) to advance responsible AI. ➡️Governments are encouraged to adopt incremental approaches, using pilot projects & regulatory sandboxes to mitigate risks & scale successful initiatives gradually.

I wrote an Op-Ed, published in American Banker this morning, about fixing government payment systems. The same digital infrastructure powering modern private sector payments today can also transform government payment operations. We can (and should) dramatically improve how government money moves by embracing real-time payment networks like FedNow, implementing API-driven solutions, and leveraging AI for decisioning, monitoring, and fraud detection. Automation can ease the operational burden of payment operations, making agencies far more efficient and delighting the citizens waiting to be paid. This isn't a distant future vision. It's reality in the private sector today, and India, Brazil, and even the EU are ahead. Full Op-Ed here: https://lnkd.in/gaz6mtqD

🚨 Federal Government Phases Out Paper Checks: A $175B Shift to Digital Payments by September 30, 2025 (June/25 PYMNTS Money Mobility Tracker) A landmark executive order mandates that all federal agencies transition from paper #checks to #digital disbursements—including ACH, real-time payments, and digital wallets—by the end of September. This move addresses longstanding issues of fraud, inefficiency, and consumer demand for faster, more secure payments. Key Insights: - $175B in Paper Checks: In 2024, the federal government issued $175 billion in paper checks, which are 16 times more likely to be lost, stolen, or altered compared to digital payments. - Fraud Concerns: Despite declining check usage, 63% of organizations reported check fraud in 2024, highlighting the need for more secure payment methods. - Consumer Demand for Instant Payments: 90% of consumers prefer to receive disbursements instantly. In January 2025, 41% of U.S. consumers received disbursements instantly most often, up from just 11% in 2018. - Cost Savings: The federal government spent nearly $700 million in FY 2024 to support paper-based records and maintain check-processing systems. Implications for the #Payments Industry: - #Infrastructure Modernization: Financial institutions and payment providers must invest in real-time payment infrastructure to accommodate the surge in digital disbursements. - #Fraud Prevention: Enhanced security measures, such as real-time fraud detection and stronger authentication, are essential to protect against evolving threats. - Financial Inclusion: Efforts must be made to ensure that underbanked and unbanked populations have access to digital payment methods. This policy shift not only modernizes federal disbursements but also sets a precedent for the broader adoption of real-time payments across various sectors. As professionals in the payments industry, it's crucial to stay ahead of these changes and prepare for the future of digital payments. Ren Payments by Euronet #Issuing, #Acquiring, #ATM, #RTP Instant Payments Processing #Platform, #Infrastructure, and #Expertise.