Egypt’s IPO market is back. Highland’s offering wraps up this week, and Long Covid Care is next. And Moody’s warns that banks risk depending on a handful of AI suppliers. So how does a bank buy AI without handing someone else the keys? Joining me again is Dr. Jihan Zahran, Chief AI and External Affairs Officer at Gulf Data International. Doctor Jihan, welcome back.
Thank you. Welcome back to you.
When a bank buys AI through a company like GDI, who really holds the power in that deal — is it the bank or the company that owns the technology?
We call ourselves a vendor — we are really creating everything according to the client’s needs. In the beginning, the AI company holds the power because they build the technology. But once the contract is signed, the bank is in charge. Why? Because AI is useless without the bank’s customer data. And central bank regulation holds the bank — not the AI company — responsible for everything. Think of it like this: the tech company builds a fast engine. But the bank owns the car and holds the steering wheel.
So they are not handing over any keys?
We give them the engine — and they are the controller.
Moody’s has warned that banks are becoming dependent on a small number of AI suppliers, many of whom are still losing money and under pressure to raise prices. How can a bank protect itself?
Banks need to avoid depending on one technology provider. If you rely on one company, you are stuck when they raise prices. Banks should build their systems so they can swap out AI models like changing a light bulb. If one supplier becomes too expensive or goes out of business, the bank simply plugs in another provider without interrupting the service to customers. That is actually happening in many cases already.
If a bank wants to switch providers after a few years, how hard is that and does it lose anything?
They never lose the actual customer records or financial data. But what the bank risks losing is time. Over the years, an AI learns how a specific bank works — how to read specific documents, how to interpret specific processes. If the bank switches providers, it has to teach the new AI the same lessons. To prevent this, banks must ensure they own all learning and training materials from day one. That is what we do from the very beginning with our clients. They have to know what they own and what they can do by themselves.
Current rules in Egypt require client data to stay in-house or on a local cloud. Does that reduce banks’ dependence on global tech giants or just shift it to local providers?
Local cloud rules keep customer data safe inside the country — which is great for national security and privacy. But if the bank relies only on one local cloud company, it creates the exact same problem locally. To be truly independent, banks must use open technology so they are not trapped by any single tech giant — or single local supplier.
Many Egyptian banks still run on old systems. Is it safer to hand that upgrade job to one provider or spread it across several?
It is always best to hire one main master builder — but make sure they use standard, interchangeable parts. If you hire 20 different vendors, no one takes responsibility when something breaks. The safe path is having one main leadership partner who connects flexible systems together — all under your control as a bank. Mainly rely on one — but with flexible systems that can be enhanced under your control.
Doctor Jihan, it is always great to have you back on the show. Thank you.
Thank you for having me.
