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‘With foresight, institutional discipline, and relentless execution, India can become the first large society to demonstrate true human abundance,’ says CEA V Anantha Nageswaran.
Chief Economic Advisor V Anantha Nageswaran. (File Photo)
India’s Chief Economic Advisor V Anantha Nageswaran on Monday said the effect of emerging technologies on India’s future will depend on deliberate policy decisions, stressing that artificial intelligence (AI) must be aligned with mass employability rather than left to evolve on its own. Speaking virtually at the India AI Impact Summit 2026 during a session titled ‘Employability in the AI Age: Preparing for the Jobs of Tomorrow’, he described AI as a pivotal moment for India’s economic trajectory.
“With foresight, institutional discipline, and relentless execution, India can become the first large society to demonstrate true human abundance. Artificial intelligence can either reinforce this vision or undermine it — the outcome will not be accidental,” he said.
Calls for political will and ‘Team India’ approach
Nageswaran cautioned that this transformation “will not happen by drift” and requires political will, strong state capacity and a clear national strategy. “Most importantly, it requires a clear national commitment to aligning technological adoption with mass employability. This is not the task of government alone; it must be a Team India effort, bringing together policymakers, industry, educators, and society at large,” he said.
Demographic dividend a ‘promise and a warning’
Placing AI within India’s broader growth story, the CEA said the country’s demographic dividend is both a “promise and a warning”, noting that delays in reform could turn a major opportunity into a long-term risk. He highlighted persistent skill gaps despite annual job creation.
“Every year of delay compounds the pressure and narrows our options. While millions of jobs are created annually, only a small proportion of our young workforce is absorbed into productive employment due to gaps in skills and training. This is not a cyclical challenge — it is a structural vulnerability,” Nageswaran stated.
Push for structural reforms and skilling
To address this vulnerability, he urged immediate policy action focused on education, skilling and regulatory reform. “Addressing it requires urgent investment in large-scale skilling, strengthening foundational education, scaling high-quality training programmes, and removing regulatory bottlenecks. If we fail to act decisively, we risk turning a historic opportunity into a long-term liability,” he warned.
He underlined that the issue goes beyond labour markets. “It has to be a Team India effort, including the private sector and academics, as well as policy windows. The window is open still, but it is not indefinite for India… We must act, and act now.”
Education reform as starting point
Nageswaran said the roadmap must begin with a fundamental overhaul of learning systems. “The first step begins with reforming our education, and with teaching and imparting foundational skills. That is where the path to co-creating prosperity with AI and employability in the age of AI begins,” he said.
Expressing hope that discussions would lead to concrete results, he added, “I miss being there in person, but I hope this speech does trigger some truthful, concrete, and immediate action — immediate action at all levels of society.”
AI Impact Summit 2026
The India AI Impact Summit 2026, described as the first global AI summit hosted in the Global South, aims to shift global discussions from broad commitments to practical cooperation and measurable outcomes in AI governance. The event builds on earlier international gatherings such as the UK AI Safety Summit, the AI Seoul Summit, the France AI Action Summit and the Global AI Summit on Africa. Organisers say the goal is to ensure AI supports inclusive growth, social progress and innovation while addressing risks such as job disruption, bias and rising energy consumption.
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February 16, 2026, 16:54 IST
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