India at risk of AI-driven job shock affecting millions entering workforce each year, warns IMF chief

Kristalina Georgieva, the Managing Director of the International Monetary Fund (IMF), has raised alarms about the potential impact of artificial intelligence (AI) on global employment, particularly in India. With millions of young individuals entering the workforce each year, India stands at a critical juncture where rapid advancements in AI could lead to significant job disruptions. Georgieva emphasized that the scale of India’s workforce makes it particularly vulnerable to these technological changes. She highlighted the necessity for governments and businesses to proactively address these challenges, ensuring that robust policies are implemented to support affected workers. This warning comes at a time when AI technologies are increasingly being integrated into various sectors, promising efficiency but also posing risks of widespread job displacement. The IMF's concerns echo the broader global discourse on the dual-edged nature of AI, which, while fostering innovation, could also exacerbate unemployment issues if not managed wisely. As India navigates this technological evolution, the focus on upskilling and reskilling the workforce will be crucial to mitigate the potential fallout of an AI-driven job shock.