Sumsub welcomes South Africa’s National AI Policy Framework

Sumsub welcomes South Africa’s National AI Policy Framework

In light of AI deepfake frauds increasing by 500% in South Africa Sumsub has welcomed South Africa’s Artificial Intelligence Policy Framework and lauded the government’s emphasis on ethical AI practices.

Sumsub is the global transaction monitoring and fraud detection company at the forefront of detecting sophisticated AI deepfakes and fighting fraud

South Africa’s Department of Communications & Digital Technologies recently introduced a national policy framework for artificial intelligence (AI) and is now seeking feedback from the ICT sector and other stakeholders. This marks the first step towards crafting a comprehensive national AI policy for South Africa, which will eventually lay the groundwork for AI regulations and potentially an AI Act.

Sumsub’s recent Fraudlympics Report – a tongue-in-cheek report released to coincide with the Paris Summer Olympics – showed countries topping the global list of those regions that showed the most growth in fraud, receiving medals. Although Nigeria topped the Fraudlympics’ ‘medals’ list with three gold medals, showing the highest fraud growth rates for identity theft and forced verification, Sumsub believes South Africa’s proposed AI Policy can serve as a strong example of proactive AI regulation for other African markets.

Sumsub’s report also revealed that fraud tactics continue to evolve in 2024, with one of the main trends being AI-powered, fabricated audio and video content – ‘deepfakes’. Sumsub’s internal data revealed a 500% rise in deepfake frauds in South Africa specifically and a 245% YoY surge in global deepfake fraud cases. As AI technology advances, deepfake-based fraud is expected to become more widespread and harder to detect.

“The rapid growth, ease of access and unbridled sophistication of AI platforms means that more people will be able to tap into a technology that holds immense benefits for mankind. But, at the same time, this technology is also accessible by ‘bad actors’ looking to use AI for nefarious purposes,” says Hannes Bezuidenhout, Sumsub’s VP Sales for Africa.

“We have seen numerous deepfakes doing the rounds with South African media personalities and celebrities, and while Sumsub can easily detect these, the average viewer on social media is easily fooled and exposes themselves to potential scams and undue influence. For this reason, we applaud South Africa’s pioneering approach on the continent. A sound South African AI Policy Framework that will, hopefully, implement some of the best practices from European Union AI-policy and govern the ethical use of AI is of vital importance for the country. We wholeheartedly support this initiative and look forward to providing input.”

The South African AI Policy Framework was developed after extensive international benchmarking and identifies key strategic areas for AI policy development. The department is moving into formal consultations with stakeholders, aiming to complete this by the end of September. The framework emphasizes ethical AI practices, including fairness, transparency, and the mitigation of biases, while maintaining human oversight and aligning with global standards.

The policy framework also aims to build a strong AI ecosystem in South Africa by focusing on research and development, skill development, and infrastructure improvement. It highlights the importance of addressing the ethical, social, and economic impacts of AI to ensure that its benefits are widely shared and risks are effectively managed. In addition to setting out clear guidelines, the policy will support the development of sector-specific strategies in areas like healthcare, education, and finance.

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