AI will take over, but we need to embrace it: Raghuram Rajan

The former RBI governor was speaking at the global digital summit #FUTURE

AI will take over, but we need to embrace it: Raghuram Rajan [File] Raghuram Rajan | Vibi Job

Former Reserve Bank of India governor Raghuram Rajan has said that with advancements in technology and machine learning, artificial intelligence will take over, but we must be open to embracing it. He was speaking at #FUTURE, the two-day global digital summit in Kochi.

On automation and the emergence of artificial intelligence, Rajan said that there has been a steady dip in jobs, especially in the past one year, where automation has played a huge role. Jobs will be taken over by machines as routine jobs are easy to be automated, he added.

“Jobs that require human empathy, high intelligence and jobs like those of doormen etc where humans want other humans to serve will remain,” he said.

“Across jobs, there will be restructuring. Routine-ness will be replaced and more focus will be on creativity.”

A significant amount of hype will always be around technology, Rajan said. He said that the industrial revolution is a fine example of the society's ability to adapt to change.

However, any technological progress will take time to be completely accepted. Rajan said that governments still work with physical files despite having several tools at their disposal in the digital era. He said that organisations are conservative and it slows down the speed of progress. Driverless cars will become a reality, but people need to be reassured about its viability. Machines will reduce doctor redundancies, he said. However, he added that humans are still cheaper to programme than a robot.

Rajan further stated that there is a disguised move against technology through trade. The shortcomings in education and labour needs to be remedied. India is a long way from competing in the global economy as too many Indians are inadequately skilled. “India doesn't have jobs like the West to fear losing jobs. We don't have jobs to lose. We have to get the jobs first.”

He said that industries in the country need to flourish and for that, the government should not intervene at the micro level. Businesses are depending on foreign capital in the current situation, and entrepreneurs need to be provided with risk capital.

“We need not and should not oppose change. We shouldn't be a victim of it, but embrace it.

“We don't have to go out to see the world. The world is coming to India,” he said.

Eminent speakers, influencers, academicians, entrepreneurs and stakeholder from the IT sector have come together at the two-day summit to discuss emerging trends and opportunities in the sector.