THE CONTEXT: Prime Minister Narendra Modi addressed the AI Action Summit in Paris on February 11, 2025, emphasizing India’s stance on AI governance and standards that uphold shared values, address risks, and build trust. The summit, co-chaired by India and France, brought together over 90 nations to address critical challenges in global AI governance, including the digital divide and AI safety.
KEY ASPECTS OF INDIA’S AI GOVERNANCE APPROACH:
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- Principle-based Framework: India advocates a principle-based approach to AI governance, emphasizing transparency, accountability, and fairness. This aligns with global best practices while allowing flexibility for India-specific challenges.
- Risk-based Regulation: The government proposes a risk-based AI governance model, classifying AI systems into low, medium, and high-risk categories. This approach ensures proportionate regulation without stifling innovation.
- Digital Public Infrastructure (DPI): India’s robust DPI, including Aadhaar and UPI, provides a unique foundation for inclusive AI development. Leveraging this infrastructure can help bridge the digital divide and ensure equitable AI access.
- Sectoral Approach: Recognizing AI’s diverse applications, India is considering sector-specific guidelines to address unique challenges in areas like healthcare, finance, and agriculture.
- Global South Perspective: India positions itself as a voice for the Global South in AI governance discussions, advocating for inclusive development and addressing the concerns of developing nations.
POLICY INITIATIVES AND INSTITUTIONAL MECHANISMS
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- IndiaAI Mission: This flagship program aims to build AI capabilities through subsidized GPU access and funding for promising projects.
- AI Safety Institute: The proposed establishment of a national AI Safety Institute demonstrates India’s commitment to proactively addressing AI risks.
- AI Governance Authority (AIGA): A proposed regulatory body to oversee AI ethics, compliance, and risk assessment.
- Digital Personal Data Protection Act (DPDP Act, 2023): This legislation is being expanded to address AI-specific risks, particularly in automated decision-making and AI surveillance.
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KEY DIMENSIONS OF INDIA’S AI GOVERNANCE STANCE
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- Global Leadership in AI Governance: India, along with over 50 other countries, is committed to fostering trust, safety, and universal access in AI development. As a leader of the Global South, India is uniquely positioned to bridge the gap between advanced economies and developing nations through its Digital Public Infrastructure (DPI) and STEM expertise. India advocates a balanced regulatory approach, avoiding extremes like the EU’s stringent AI Act or the US’s laissez-faire model.
- Policy Framework and Regulatory Measures: AI systems should be classified into low, medium, and high-risk categories to ensure proportionate oversight. Transparency in decision-making processes should also be ensured to prevent biases. Promoting fairness, inclusivity, and privacy protection in AI systems.
- Institutional Mechanisms: Establishment of a dedicated AI Governance Authority (AIGA) to oversee compliance, risk assessment, and public-private collaboration. Proposal for an AI Safety Institute to enhance state capacity in research, safety testing, and cross-border cooperation.
- Economic Implications: By 2025, AI is projected to contribute $500 billion to India’s economy. While AI-driven efficiency boosts sectors like IT and agriculture, there are concerns about job displacement and wage stagnation. The concept of an “Engels’ Pause” highlights the risk of firms benefiting disproportionately from technological advancements while workers face stagnant wages.
- Sustainability and Energy Efficiency: With rising energy demands for AI training, India emphasizes using renewable energy sources for data centers. Sustainable AI growth aligns with global climate imperatives, ensuring minimal environmental impact.
- Capacity Building and Talent Development: Integrating AI education into school curricula under initiatives like DIKSHA. Subsidized access to GPU clusters under the IndiaAI Mission to foster innovation. Retaining top AI talent domestically while addressing brain drain challenges.
AI TALENT AND EDUCATION IN INDIA: A STRATEGIC PERSPECTIVE
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OPPORTUNITIES |
CHALLENGES |
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o Collaborations with global tech giants like Nvidia and Google have positioned India as a critical player in the global AI ecosystem. |
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THE WAY FORWARD:
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- Integrating AI Education: Introduce AI-focused curricula across all educational levels under initiatives like Skill India 2.0 and the National Education Policy (NEP) 2020, emphasizing ethical AI governance, natural language processing (NLP), and prompt engineering. Launch nationwide AI literacy campaigns targeting students and teachers, leveraging platforms like DIKSHA for digital learning. Use AI tools to provide personalized learning experiences, addressing individual student needs and reducing dropout rates (e.g., Performance Grading Index by MHRD).
- Upskilling Initiatives: Expansion of PMKVY to Include advanced courses on artificial intelligence, machine learning (ML), and robotics. Encourage private sector participation in upskilling through initiatives like Infosys Springboard and TCS iON Digital Learning Hub.
- Talent Retention Strategies: Establish well-funded research labs under the Anusandhan National Research Foundation (NRF) to attract expatriate researchers and foster domestic innovation. Provide competitive salaries, grants, and fellowships to retain top-tier talent within India.
- Public-Private Partnerships (PPPs): Foster collaborations between academia, government bodies, and private sector players to establish regional AI hubs. Incentivize companies to set up operations in tier-2 cities like Kochi and Indore to decentralize opportunities.
- Inclusive Development: Ensure equitable access to skill development programs for rural populations through digital platforms like e-Shram. Provide subsidized access to GPU clusters under the IndiaAI Mission for startups and small enterprises.
THE CONCLUSION:
To harness the transformative potential of Artificial Intelligence (AI) responsibly, India must adopt a balanced approach that prioritizes ethical governance, skill development, and sustainable innovation, ensuring inclusive growth while mitigating risks. By leveraging its demographic dividend, digital infrastructure, and global partnerships, India can emerge as a global leader in AI-driven socio-economic transformation.
UPSC PAST YEAR QUESTION:
Q. Introduce the concept of Artificial Intelligence (AI). How does AI help clinical diagnosis? Do you perceive any threat to privacy of the individual in the use of Al in healthcare? 2023
MAINS PRACTICE QUESTION:
Q. “Artificial Intelligence (AI) has the potential to transform India’s economy, but it also poses significant challenges regarding job displacement, ethical governance, and energy sustainability.” Discuss the opportunities and challenges of AI adoption in India and suggest a comprehensive policy framework to address these issues.
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