Sitharaman Seeks Stronger AI Safeguards Without Stifling Innovation

Nirmala Sitharaman said artificial intelligence can be useful in finance but can also create serious problems.

AI may help find fraud more quickly, but criminals could also use it to launch bigger cyberattacks.

Newer agentic AI systems can take actions instead of only making suggestions.

She said people and institutions must remain responsible for important AI decisions.

Riskier AI systems should receive more checks before and after they are used.

She also said safety rules should not unnecessarily stop helpful innovation.

Sitharaman suggested a joint platform to help Indian technology companies understand rules in other countries.

She said those companies should pay taxes in the places where they make profits.