Mumbai: The Global Fintech Fest (GFF) 2025, currently underway in Mumbai, kicked off with a focus on the transformative power of Artificial Intelligence (AI) in finance, balanced with an urgent call for rigorous oversight and 'safety by design' regulation. The conference, organized by the Payments Council of India (PCI), the National Payments Corporation of India (NPCI), and the Fintech Convergence Council (FCC), is being held from October 7–9.
Speaking on 'Responsible AI for Finance,' T Rabi Sankar, Deputy Governor of the Reserve Bank of India (RBI), cautioned that while AI promises "extraordinary efficiency, inclusion and innovation," if "left unattended, it could pose unprecedented threats". He emphasized that in finance, built on trust and stability, AI integration must be approached with "profound responsibility". He called for AI systems to be subjected to "rigorous oversight" and designed so they "cannot inadvertently destabilize markets, or payment systems, or consumer confidence". Sankar also highlighted the RBI Innovation Hub's 'MuleHunter.ai', an AI model deployed in about 20 commercial banks to combat mule accounts with greater accuracy than traditional systems.
Adding to the discussion, B.V.R. Subrahmanyam, CEO of NITI Aayog, termed AI a "true disruptor, reshaping society on an unprecedented scale". He explained AI's impact at three levels: improving tasks (efficiency), changing processes (job substitution), and eliminating processes entirely (transformation). The CEO underscored that for a $30 trillion, technology-driven economy, the financial sector would be massive, offering transformative opportunities.
Subrahmanyam stressed the need for "innovation-friendly regulation" that is "nimble-footed". He advocated for 'regulatory sandboxes' to allow experimentation and for regulation to evolve from an "institution-based to an activity-based framework". Additionally, he emphasized financial inclusion, noting large credit gaps for women, MSMEs, and underserved individuals, and highlighted the role of the Account Aggregator Framework in expanding credit access using digital footprints. He concluded that with the right balance, India can "set the standards in global fintech".
GFF 2025 is supported by multiple government bodies, including the Ministry of Electronics and Information Technology, the Ministry of Finance, the RBI, and SEBI.