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AI & Governance in India

What is Artificial Intelligence?

Artificial intelligence is the term used to describe a machine's capacity to carry out cognitive functions like reasoning, perception, learning, and decision-making. Deep learning and machine learning are included under the general term AI. A technology of the twenty-first century, artificial intelligence is revolutionising many facets of existence. It makes it possible for individuals to better integrate information, analyse data, and make decisions using AI insights. The world is already being changed by AI, which is used in many sectors of the economy and government.

India has had a rapid increase in digital adoption over the past ten years thanks to the government's focus on the JAM Trinity (Jan Dhan-Aadhaar-Mobile) to establish a unique digital identity for each individual. India presently has approximately 55% of its population online, up from just 4% in 2007, and is expected to have one billion users online by 2025. According to a recent PwC report, AI might boost the world economy by $15.7 trillion by 2030. In order to empower people and accelerate its progress toward its objective of creating $1 trillion in economic value through digital technologies by 2025, India has the ability to take advantage of these enormous databases.

Why is AI the key innovation of the twenty-first century?

  • The enormous prospects for economic growth are one factor in the expanding use of AI.

  • In the banking industry, loan decisions are now being made by software that may consider a range of borrower-related data. EVA, an AI-based chatbot created by HDFC Bank (Electronic Virtual Assistant).

  • By 2050, the globe will need to produce 50% more food because of population growth and climate change. AI can assist farmers in increasing their yields while more sustainably using resources.

  • Analysis of enormous amounts of data is always necessary for space exploration and discovery. The most effective method for handling and processing data of this size is artificial intelligence and machine learning.

Government initiatives

  • The Ministry of Electronics & Information Technology has established four committees that address every area of AI in order to construct a framework for policy and the ecosystem for it.

  • The National Strategy for Artificial Intelligence (NSAI) was published by the government in June 2018. The strategy acts as a road map for the government's adoption of AI to improve the effectiveness of service delivery, partnership with the private sector to maximise public sector potential, and development of skills to accept and apply innovation.

  • An Artificial Intelligence (AI) Task Force for India's Economic Transformation has been established. An Inter-Ministerial National Artificial Intelligence Mission has been suggested by the Task Force to serve as a focal organisation for coordinating AI-related efforts in India.

  • The NITI Aayog was required by the budget of 2018 to create the national AI programme, which will direct research and development in cutting-edge and developing technologies. Healthcare, agriculture, education, smart cities and infrastructure, and smart mobility and transportation were highlighted as the five sectors for AI application to meet societal demands in NITI's discussion paper, "National strategy on Artificial Intelligence."

  • Youth engagement in MeitY's "Responsible AI for Youth" has been encouraged by exposure to a tech mentality and digital readiness.

  • RAISE 2020, the Digital India Dialogue, and AI Pe Charcha have all launched initiatives that have sparked the urgently required discussion on "AI for good." They discuss many aspects of developing technology and their consequences for policy.


  • The essential industry of energy stands to gain from the widespread deployment of AI. India loses billions of dollars each year due to income losses from renewable energy sources all around the nation. The annual revenue loss from Delhi and Kolkata alone is $36 million.

  • AI can accelerate India's economic growth by improving productivity across a range of industrial sectors. According to NITI Aayog, using AI will increase the economy's gross value added (GVA) by 15% by 2035.

  • Through tailored instruction and the foresight of the need for student intervention to reduce dropout rates or suggest vocational training, it can contribute to a better learning experience.

  • By incorporating applied AI, developing cities may be better able to meet the needs of their fast expanding populations and improve their quality of life. Some potential applications for AI systems include traffic control to relieve congestion and improved crowd management to increase security.

  • Big data on road safety and crime statistics from the NCRB (National Crime Record Bureau) can be used to create new legislation. By utilising the robotic army and less human soldiers in counterinsurgency and patrolling activities, the loss of CRPF jawans can be reduced.

  • The Renewable Energy Management Centres (REMCs) of the Power Ministry will be able to offer improved renewable energy forecasting, scheduling, and monitoring capabilities with the help of AI by processing huge datasets of historical weather, generation output history, and electricity demand in a region.

  • The use of AI by policymakers is possible in a number of areas, including data compliance and efficient tax monitoring.

  • Initiatives like Future Skills Prime have demonstrated the power of public-private partnerships by offering customers spanning citizens, government officials, and corporations courses that are digitally ready.


  • Many government and public sector organisations have a basic understanding of their data. Employees frequently lack the requisite data management and AI skills.

  • Specific providers must maintain AI algorithms, which adds to the expense for public sector organisations.

  • The ability of the government to implement AI with full public support in the long run is threatened by starting AI initiatives without having a thorough understanding of the relevant local legislation. This may affect AI procurement just as significantly as a dearth of technical AI expertise.

  • Government organisations that do have internal AI expertise confront an additional challenge: poor communication. Silos between roles make it difficult for AI resources and their coworkers, such as policy-makers, to communicate often and fully utilise one another's expertise.

  • With the use of artificial intelligence, a business can significantly reduce its reliance on its human labour, which will result in fewer individuals receiving income. As a result, those who control AI-driven businesses will be the only ones who profit. AI may also exacerbate digital exclusion.


It is crucial for the many stakeholders, including innovators, policymakers, academics, industry experts, philanthropic foundations, multilateral organisations, and civil society to work together to help steer AI's future towards beneficial purposes as it continues to permeate every aspect of our daily lives. To enable the next generation to play a crucial role in building useful AI solutions for India and in India, we must establish enabling settings in schools through multidisciplinary methods with AI at their centre.

India can take the lead in thriving through Artificial Intelligence solutions, contributing to inclusive growth and social empowerment, thanks to its technological expertise and quantity of data. India can take the lead in thriving through Artificial Intelligence solutions and contribute to inclusive growth and social empowerment thanks to its technological capability and wealth of data.


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