The Indian government's stance on AI governance has recently shifted from non-intervention to actively advocating a regulatory framework. PM Modi has called for a worldwide framework to guarantee the ethical utilisation of AI. Modi also expressed concerns about algorithmic bias and the disruptive consequences it can have on society. Addressing the B20 India 2023 summit, he also urged establishing a global framework on cryptocurrencies, aligning himself with India's Reserve Bank, which recommended a complete ban on cryptocurrencies and launched a Central Bank Digital Currency (CBDC).

The government announced plans to regulate AI to ensure it does not harm 'digital citizens', a departure from India's previous position on AI.

Why does it matter?

India is the council chair of the global partnership on AI and currently holds the presidency of the G20, hosting the 2023 summit this September. PM Modi's call for ethical AI development and usage is a way to take leadership and respond to global concerns regarding the rapid emergence of generative AI models. His call comes weeks after UN Secretary-General Antonio Guterres recommended establishing an international AI agency and days after Microsoft's Brad Smith publicly shared its blueprint for India's AI governance, suggesting that the country should play a larger role in AI regulation.