EU AI Act
EU AI Act — High-Risk Financial AI
Overview
The EU AI Act classifies AI systems used in credit scoring, insurance, and financial decisions as high-risk (Annex III). IOF is building the required controls: risk classification registry, transparency disclosures, human-oversight mechanisms, and the Article 73 serious-incident reporting pipeline. See euai.islamicopenfinance.com for the dedicated compliance tracker.
Scope
Applies to any AI/ML model used in credit decisioning, KYC risk scoring, AML classification, Takaful underwriting, or portfolio risk assessment. The Agents rail and analytics-api are in scope.
Key Controls
- Article 73 serious-incident reporting pipeline implemented
- AI risk classification registry (high-risk category mapping)
- Transparency disclosures on all AI-assisted decisions
- Human oversight controls: AI decisions reviewable and overridable
- Data governance for training data (quality, representativeness)
- Conformity assessment procedure (in progress)
- Post-market monitoring plan
Certification & Audit
EU notified body (selection in progress for conformity assessment)
Target: full conformity by EU AI Act enforcement date (August 2026)
Evidence Bundle
Evidence bundle available on request
Contact compliance@islamicopenfinance.com to request the evidence pack for this framework. We typically respond to audit requests within two business days.