Finance Minister Nirmala Sitharaman has raised alarm over the misuse of Artificial Intelligence (AI) and deepfake technology, revealing that several manipulated videos of her have been circulated online.
Speaking at the Global Fintech Fest 2025 in Mumbai, Sitharaman said that while AI presents transformative opportunities for governance and finance, it also brings serious risks of fraud, misinformation, and digital deception.
“I have seen several deepfake videos of myself being circulated online manipulated to mislead citizens,” Sitharaman said. “It’s a reminder of how urgently we must strengthen our digital defenses.”
The Finance Minister called for a balanced approach to artificial intelligence one that encourages innovation but also prioritizes ethics, transparency, and accountability.
“A focused approach across the AI stack can make India the AI torchbearer of the Global South,” she said. “But even as AI opens extraordinary possibilities, we must remain aware of its darker side where the same tools that power progress can be weaponized for deception.”
Sitharaman urged fintech innovators, investors, and regulators to work together to build systems that are secure, resilient, and inclusive, emphasizing that technology must ultimately “serve humanity.”
At the same event, Sitharaman launched the Foreign Currency Settlement System (FCSS) in Gujarat’s GIFT City, a first-of-its-kind initiative aimed at improving real-time foreign exchange settlements and boosting India’s global financial competitiveness.
The new system enables seamless cross-border currency transactions within India’s International Financial Services Centre (IFSC) reducing settlement times from 36–48 hours to real-time, improving liquidity management and operational efficiency.
“The FCSS will place India among a select group of global hubs like Hong Kong, Tokyo, and Manila,” Sitharaman said, adding that the initiative enhances India’s ability to attract international trade and investment.
Sitharaman’s remarks underline India’s dual challenge embracing AI-led growth while preparing to tackle the ethical and cybersecurity threats that come with it.
As deepfakes and synthetic media evolve, India’s regulatory and financial systems will need to act quickly to protect both individuals and institutions from AI-enabled manipulation.
