Tech Must Not Be Weaponised; Focus On Growth, Says Finance Minister Nirmala Sitharaman

Finance Minister Nirmala Sitharaman on Tuesday said technology must not be weaponised and should serve the public good. Speaking at the Global Fintech Fest 2025 in Mumbai, she said India had entered the global artificial intelligence space with the Rs 1,300 crore India AI Mission, reflecting the country's commitment to technology and innovation.

Sitharaman said India ranked third globally in the number of fintech companies and accounted for nearly half of the world’s real-time digital transactions. She added that India led globally in digital payments volume and said fintech in India had become a nationwide enabler of economic participation.

She urged fintech firms to focus on fundamentals such as revenue growth, product innovation, risk management, and compliance.

Sitharaman launched the Foreign Currency Settlement System (FCSS) at Gujarat’s GIFT City to address challenges in foreign currency transactions.

She said FCSS would operate as a payment system within the International Financial Services Centre and enable near real-time settlement of foreign currency transactions. With this, GIFT IFSC joined a group of global financial centres with local foreign currency settlement infrastructure.

The minister said Rs 4.31 lakh crore had been saved through Direct Benefit Transfer, ensuring public funds reached the intended beneficiaries.

On Global Capability Centres (GCCs), Sitharaman said efforts were underway to strengthen their operations in India. “We are working to strengthen the functioning of GCCs in India. There are 1,800 such entities in the country,” she said.

She said India’s GCC network had evolved from being a cost-arbitrage base to a hub for research and development. “India offers an opportunity for GCCs to scale innovation. The country contributes 16% of global AI talent,” she said.

Sitharaman said a focused approach to fintech could make India a leading voice for the Global South.

She cautioned against misuse of artificial intelligence and said that as technology advances, caution is necessary.

“We want to remain on the fringes when it comes to business and technology regulation. Our aim is to enable businesses, not hinder their progress,” she said, adding that technology should never be weaponised and must serve public good.

Sitharaman also spoke about the risks of artificial intelligence and said, “I have seen several deepfake videos of myself.”