NEW DELHI: Finance minister Nirmala Sitharaman on Tuesday expressed concern over the growing misuse of artificial intelligence, revealing that she has come across several deepfake videos of herself circulating online. She warned that while AI offers immense opportunities, it also carries serious risks of deception and fraud.Speaking at the Global Fintech Fest 2025, Sitharaman said, “Focused approach across the AI stack can make India the AI torchbearer across the globe south. So as this new wave gathers momentum, fintech innovators, investors and regulators all have a shared responsibility to build systems that are not only innovative but also resilient, secure and inclusive. Undoubtedly, artificial intelligence is transforming finance, transforming governance and also everyday life. But as we harness its powers, we must remain conscious that technology must always serve humanity. Even as AI opens extraordinary possibilities, we must confront its darker side. The same tools that power information can be weaponised for deception and fraud. I am not personalising it but I can say I have seen several deepfake videos of myself being circulated online, manipulated to mislead citizens. It was the reminder of the urgency with which we must strengthen our defences.”At the event, Sitharaman also launched the foreign currency settlement system (FCSS) in Gujarat’s GIFT City. The initiative aims to boost international trade, attract investments, and improve ease of doing business by enabling real-time settlement of foreign currency transactions.“Foreign currency settlement system to solve the problem of facilitating seamless transactions on real-time basis, enhance liquidity management, and ensuring compliance,” she said.The FCSS will function within the International Financial Services Centre (IFSC), placing India among a select group of global financial hubs such as Hong Kong, Tokyo, and Manila that have local foreign currency settlement infrastructure.Currently, such transactions by entities in IFSC are processed through correspondent banking arrangements involving multiple intermediaries, leading to delays. The new system will streamline the process.“FCSS facilities seamless and efficient settlement of foreign currency transactions within IFSC on a real-time basis, not 36-48 hours, enhancing liquidity management and operational resilience, ensuring compliance with regulatory oversight under PSS Act,” Sitharaman added.
