The Chief Executive Officer of NITI Aayog, BVR Subrahmanyam, has highlighted artificial intelligence (AI) as a “decisive lever” for accelerating India’s economic growth, projecting that widespread adoption of AI and advances in research and development could help the country achieve an 8% growth rate. This growth trajectory is expected to narrow the gap between India’s projected GDP of $6.6 trillion and a potential $8.3 trillion by 2035.

The NITI Aayog CEO emphasized that AI-driven productivity gains, combined with innovation in key sectors, will be critical to sustaining robust economic expansion. Early beneficiaries are likely to include the banking and manufacturing industries, where AI applications can enhance efficiency, streamline operations, and foster new business models.

In banking, AI adoption is expected to improve risk management, fraud detection, and customer service, while also enabling data-driven decision-making. Manufacturing sectors are set to benefit from automation, predictive maintenance, and optimized supply chain management, allowing companies to increase output and competitiveness.

Beyond these sectors, the CEO highlighted that AI can play a transformative role in areas such as healthcare, education, and agriculture by enabling smarter resource allocation, personalized services, and data-driven insights. Investment in AI research, infrastructure, and skills development is considered crucial for realizing these gains.

The remarks underscore the Indian government’s commitment to integrating emerging technologies into national development strategies. By fostering a supportive ecosystem for AI, including public-private partnerships and regulatory frameworks, India aims to position itself as a global innovation hub.

As the nation moves toward higher productivity and innovation-led growth, AI is seen as central to bridging current economic gaps and achieving sustainable development. The NITI Aayog CEO’s observations highlight the strategic importance of embracing AI not only for economic expansion but also for enhancing India’s global competitiveness and technological leadership.