In March 2025, the Ministry of Electronics and Information Technology released a draft AI Regulatory Framework — a much-anticipated step towards regulating the rapidly growing field of Artificial Intelligence in India.
The policy proposes a multi-tiered regulatory model focusing on responsible AI, data privacy, algorithmic fairness, and non-discrimination. It aims to prevent misuse of AI — particularly deepfakes, mass surveillance, job displacement, and bias in automated decision-making.
One of the central features of the draft is the introduction of an AI Risk Classification System — where systems are classified into minimal, limited, high, and unacceptable risk categories. For instance, facial recognition in public spaces would fall under high-risk and require special regulatory approval.
Tech companies and startups have reacted cautiously. While many support the push for responsible innovation, they also seek clarity on compliance norms and fear overregulation might hamper India’s growing AI startup ecosystem. The government has invited public consultation until June 2025.
India’s move aligns with global trends — including the EU’s AI Act and discussions in the US and China — but uniquely tailors its approach to domestic socio-economic needs. If implemented carefully, this policy can make India a leader in ethical AI development, balancing innovation with safeguards for citizens.
