New Delhi: Finance Minister Nirmala Sitharaman delivered a pointed address on the dual nature of artificial intelligence at the Global Fintech Fest 2026, urging the country to pursue technological advancement without compromising on safety and democratic integrity. The finance minister described AI as a "double-edged sword" — capable of transformative economic benefit yet carrying serious risks if left unregulated.
In a striking remark, Sitharaman flagged the potential for AI tools to manipulate public opinion and influence electoral outcomes across the country. Her comments reflect growing concerns among policymakers worldwide about the use of deepfakes, automated disinformation campaigns, and algorithmic bias in shaping voter behaviour ahead of elections.
The finance minister also highlighted the Reserve Bank of India's recent decision to recognise the Unified Fintech Forum as a self-regulatory organisation, a move expected to streamline oversight of the rapidly evolving fintech sector. She stressed that innovation must be paired with proportionate safeguards to prevent systemic vulnerabilities.
Speaking on India's demographic advantage, Sitharaman noted that the country's young population is a key driver of both technological innovation and broader economic growth. She encouraged the ecosystem to build AI solutions that are efficient yet resilient, warning against short-term gains that could create long-term fragility in critical infrastructure.
Her address comes at a time when the Indian government is actively formulating a regulatory framework for AI, seeking to position India as a global hub for responsible technology development while protecting citizens from emerging digital threats.
