FM asks fintechs to strengthen risk management to check AI misuse

Finance Minister Nirmala Sitharaman on Tuesday asked fintech firms to focus on risk management at a time when criminals are using AI to mimic voices, clone identities and create lifelike videos to manipulate people.

- OUR CORRESPONDENT

Finance Minister Nirmala Sitharaman

Speaking at the 6th edition of Global Fintech Fest 2025 here, the finance minister also said India has the potential of becoming the global hub for building various AI products and services.

During the event, Sitharaman launched the Foreign Currency Settlement System (ECSS) of GIFT IFSC designed to settle transactions in foreign currencies on a real-time or near real-time basis.

With the operationalisation of the FCSS, GIFT IFSC joins a select group of global financial centres - including Hong Kong, Tokyo, and Manila - that have the infrastructure to settle foreign currency transactions locally.

‘The minister said India can also build AI products that fits diverse use-cases across the world. It can be a laboratory for developing and testing Al ideas.