New Delhi: Nandan Nilekani, the Co-Founder and Chairman of Infosys, a leading IT services company, emphasized on Monday that for India to achieve an 8 percent growth rate, it must leverage AI tools to reach its population effectively.
"India's advantage has always been its ability to implement technology on a large scale," Nilekani stated during the Raisina Dialogue.
He further asserted that India needs to scale this approach in a cost-effective and accessible manner.
"We must replicate this with AI, enabling its use in education, healthcare, and language," Nilekani added.
The Raisina Dialogue is recognized as India's foremost conference on geopolitics and geoeconomics, dedicated to tackling the most pressing challenges faced by the global community. Each year, it brings together leaders from politics, business, media, and civil society in New Delhi to discuss global issues and explore collaborative opportunities across various contemporary topics.
The conference is organized by the Observer Research Foundation in collaboration with the Ministry of External Affairs.
Returning to Nilekani's remarks, he proposed that Indian companies should utilize their own data to gain access to credit through the account aggregator scheme.
"Currently, only about 10 percent of personal loans in India utilize this system," he noted. "We can significantly transform this situation, which would further democratize financial services. Additionally, it's important to recognize that 50 percent of Indian assets are tied up in land, which is neither fungible nor tradable, preventing individuals from leveraging these assets. However, with advancements in technologies like tokenization on public blockchains, we can make land fungible, allowing people to sell their land or use it as collateral to secure credit," he explained.
The Indian technology leader emphasized that unlocking the wealth of Indians could facilitate access to capital, initiating a new cycle of transformation.
He pointed out that most current activities are concentrated in major cities and stressed the importance of spreading the entrepreneurial spirit throughout the nation.
Additionally, he advocated for greater formalization of the Indian economy.
"We still have significant progress to make in formalizing our workforce," he remarked, calling for increased deregulation of businesses.
He proposed simplifying processes by reducing compliance requirements, decriminalizing certain laws, and using clearer language.
"Implementing fundamental changes is essential for accelerating formalization. I am confident that the economy has the potential to grow at 6 percent, and with a few targeted reforms, it could reach 8 percent," he stated.
He noted that India possesses all the necessary elements for growth, citing advancements in infrastructure such as roads, airports, and ports. In his address, he also highlighted the expansion of telecom and fintech services, which have positively impacted millions in the most remote areas of the country.
