India's Finance Minister Nirmala Sitharaman emphasized the importance of responsible AI regulation to foster innovation without hindering technological progress, highlighting its potential to improve urban infrastructure and create new urban planning solutions.

She also pointed out that AI could generate new employment opportunities through workforce upskilling and reskilling, despite displacing routine jobs, and stressed the need for an AI-ready human resource pool.

India has made significant progress in AI hardware, surpassing initial targets with 38,000 GPUs, which positions the country well for AI development, especially with a focus on R&D and a strong talent pipeline.

A report projects that AI could boost India's GDP from 5.7% to over 8% over the next decade, potentially reaching $8.3 trillion by 2035, with strategic focus on industries like financial services and manufacturing unlocking up to $155 billion in productivity gains.

India aims to capture 10-15% of the global AI value, contributing an estimated $500-600 billion to its GDP by 2035 through widespread AI adoption.

India's strategic focus includes mastering key technologies such as telecom, semiconductors, electric vehicles, biotech, quantum computing, and rare earth elements to ensure inclusive and robust growth.

Prime Minister Narendra Modi's leadership has accelerated AI and digital innovation, with NITI Aayog playing a central role in shaping the country's AI strategy.

AI is now impacting nearly all aspects of life, similar to the internet, and India needs to lead in AI development and adoption to remain competitive on the global stage.

NITI Aayog launched initiatives like the AI for Viksit Bharat Roadmap and the Frontier Tech Repository to promote innovation, economic growth, and sustainable development, supporting districts in deploying frontier technologies.

The government is actively engaging with stakeholders such as Nasscom and the Reserve Bank of India to develop AI policies, testing sandboxes, and frameworks to ensure responsible and innovative AI deployment.

Leveraging AI, especially generative AI for R&D, is seen as crucial for India to leapfrog into global innovation-led growth, with AI expected to contribute at least 20-30% of this growth.

AI adoption is vital for increasing productivity and economic growth, with a focus on developing an AI-ready human resource pool to meet industry demands.

The Reserve Bank of India is creating a regulatory sandbox to test AI applications in financial sectors, collaborating with authorities to promote safe and effective AI deployment.