At the India AI Impact Summit, IMF Managing Director Kristalina Georgieva said AI could add about 0.8% to global growth and help India chase its Viksit Bharat goal, but she also warned that up to 60% of jobs could be threatened. The mixed outlook means policymakers must seize productivity gains while protecting workers.
How AI Could Accelerate India’s Economic Growth
Georgieva’s models suggest AI‑driven productivity could lift India’s GDP enough to edge toward a $30 trillion economy. In practical terms, a 0.8% boost translates to roughly $240 billion of extra output each year—money that could fund infrastructure, lower energy costs, and expand digital education.
Potential Job Disruption Across Sectors
While the growth numbers look promising, the same data indicate that 40% of jobs in emerging markets and up to 60% in advanced economies may face automation pressure. If routine tasks disappear, workers in agriculture, manufacturing, and services could see their roles shrink.
Key Strategies for India to Capture AI Benefits
To turn AI’s promise into real‑world gains, experts recommend three priority actions.
- Scale affordable compute – Expand cloud infrastructure and subsidise AI‑training clusters so startups and SMEs can innovate without prohibitive costs.
- Invest in lifelong learning – Build modular, AI‑focused curricula that let you upskill on the job, partnering with industry and skill development agencies.
- Create a safety net for transition – Deploy targeted unemployment benefits, wage‑subsidy schemes, and portable benefits to smooth workers’ shift to new roles.
Public‑Private Collaboration Is Essential
Industry leaders argue that India’s talent pool combined with government support for compute can capture a sizable slice of AI‑driven growth. You’ll see more job‑creating products when companies, academia, and startups work together.
Balancing Growth and Inclusion
The IMF’s message is clear: AI can power India’s Viksit Bharat ambition, but only if the country prepares for the labour‑market shock it will bring. Balancing a modest growth lift with the risk of widespread displacement will decide whether AI narrows or widens the gap between the tech‑savvy and the rest.
