Indian banks urged to adopt AI and blockchain technology for the future

An official from India’s central bank has suggested that all banks should embrace artificial intelligence and blockchain technology to ensure sustainable growth and stability. Deputy Governor Mahesh Kumar Jain spoke at a conference organized by the Reserve Bank of India (RBI) for the directors of Indian banks. He discussed risk strategies surrounding sustainable growth and stability, emphasizing the importance of effective corporate governance and governance structure and processes to prepare for future risks. Jain recommended that Indian banks adopt innovative technologies such as AI and blockchain, as well as focusing on digital transformation, enhancing customer experience, and investing in cybersecurity measures. Pakistan has recently announced an ambitious plan to train 1 million IT graduates on AI by 2027, with intended use cases including predicting the weather, optimizing agriculture supply chains, and transforming health services.

The RBI launched India’s central bank digital currency on November 1, 2023, and began testing it for offline functionality in March. At the time, RBI executive director Ajay Kumar Choudhary shared India’s intention to use its CBDC as a medium of exchange.