India Takes Center Stage in AI Adoption and Governance: Finance Minister Sitharaman Highlights Progress

India's AI Leadership and Adoption

India is not just leading in artificial intelligence (AI) adoption but is also shaping how AI is governed globally, according to Union Finance Minister Nirmala Sitharaman. Speaking at the 6th convocation of the Indian Institute of Information Technology (IIIT) Kottayam, Sitharaman emphasized India's readiness for AI and the high demand for AI-driven solutions in the country 1

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The Finance Minister highlighted a significant statistic: India recorded 3 billion AI-related app downloads in 2024, surpassing both the United States (1.5 billion) and China (1.3 billion) 1

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. This data underscores the rapid adoption of AI technologies in India across various sectors.

Global Recognition and Ethical AI

India's appointment as co-chair at the recent AI Action Summit in Paris was cited as recognition of the country's global position in the AI sector. Sitharaman referenced Prime Minister Narendra Modi's emphasis on AI as not just a matter of national significance but a global responsibility 2

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The Finance Minister stressed the importance of ethical AI use, stating, "It is very important for us to have AI that is ethical, inclusive, and trustworthy" 1

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. This aligns with the government's vision of responsible AI development and implementation.

Government Initiatives and Investments

Sitharaman outlined key steps taken by the central government to foster AI growth:

1. The India AI mission, announced with a budget outlay of Rs 10,300 crore, aims to:

   • Build computing infrastructure
   • Develop indigenous AI capabilities
   • Attract global AI talent
   • Finance AI startups 1

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2. The government has received 67 proposals for building an indigenous AI foundational model, including 20 large language models (LLMs) from homegrown AI startups 2

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3. A "high-level technical committee" is being set up by the Ministry of Electronics and IT (MeitY) to evaluate these proposals within a month 2

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Innovation and Patent Progress

Sitharaman also highlighted India's achievements in innovation and patenting:

• India's ranking in the Global Innovation Index improved to 39 out of 133 countries in 2024, up from 81 in 2015.
• The patents-to-GDP ratio rose to 381 in 2023 from 144 in 2013, indicating significant progress in innovation and economic impact of patent activity.
• India holds the 7th position in intangible asset intensity, surpassing many high-income economies 1

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These achievements demonstrate India's commitment to fostering innovation and self-reliance in the technology sector, particularly in AI. As the country continues to implement AI at scale across various sectors, it is poised to play a significant role in shaping the global AI landscape.