‘FAKE NEWS’ CAUTION
The Governor of the Eastern Caribbean Central Bank is warning members of the regional financial sector to pay close attention to the “fake news” phenomenon, urging them to keep in mind that much is at stake.
Governor Timothy Antoine holds the view that, due to the spontaneity of the financial system, the public’s confidence in the sector can easily be undermined or eroded by untruths.
“Somebody might be wondering, why I am going there. But, the reality is that all our plans and our hard work can be undermined in seconds by the phenomenon of fake news. So these are not things which we can ignore where we sit,” he said.
The Governor spoke about the phenomenon yesterday, as he delivered the keynote address, at the Domestic Financial Institutions Conference, held at the Lloyd Erskine Sandiford Centre.
The Governor said the leadership in the Caribbean’s financial sector, is forced to operate in an environment, which is increasingly described as a “post truth” world, where fake news, and alternative facts, are gaining currency.
“Some would argue of course, that the post truth world is nothing new, and I kind of agree with that actually. Indeed, it has existed for a long time. However, what is new, and cannot be disputed, is the pace, potency and pervasiveness of social media.
“Without a doubt, this phenomenon is a game changer, it can be a blessing, and it can be a curse. A tweet or video can go viral within minutes, with no regard for truth or facts, and yet will be relied upon, to make far reaching financial decisions,” he said.
On that note, Governor Antoine stressed that the region’s financial sector risk management and continuity function must be broadened and become more agile, to address the post truth phenomenon.
He also noted that regulators must make decisions based on facts, and must be active, rather than reactive operators, as it relates to communicating with the public and disseminating information.
“Now listen to me carefully, customers must not be left to their own devices to understand these developments, neither can it be simply the job of the regulator.
“The financial services sector has to be at the forefront of public engagement, explaining these changes, and also presenting customers with options to minimise their cost and maximise their confidence.
“The reality is that it is critical to retain public confidence in the financial system and it’s an obligation on all of us. Frankly, it is stretching and it is shaping us, but we have no choice,” he said. (AH)