What is AI governance in simple words?

AI governance is how a company keeps control of the AI it uses. It means knowing which AI tools you have, deciding who is responsible for them, keeping a human in charge of big decisions, and making sure you follow the law.

Does India have an AI law?

No, India has not made a separate AI law yet. In November 2025, MeitY released the India AI Governance Guidelines. These use the laws we already have, like the DPDP Act and the IT Act, and fix the gaps instead of adding a whole new law.

How does the DPDP Act affect AI?

The DPDP Act is India's data privacy law. If your AI uses people's personal data, you need their permission first. Breaking the rules can lead to fines of up to Rs 250 crore, with full compliance expected by May 2027.

What is the RBI FREE-AI framework?

FREE-AI is the RBI's rulebook for AI in banking and lending. It came out in August 2025 and gives 26 clear steps, such as board approval for AI use, keeping a list of AI tools, and reporting problems.

How do I start with AI governance?

Begin by making a list of the tools your company uses. Mark which ones are high risk, give each a responsible owner, write a few simple rules, and keep checking the tools over time. Begin with the riskiest ones first.