The world witnessed a remarkable event on 11 September 2025 when Albania appointed an Artificial Intelligence system named Diell as its Public Procurement Minister. Within 48 hours, Diell identified 17 suspicious contracts, annulled three, and made all procurement data publicly accessible via an interactive dashboard. This unprecedented step demonstrated how AI can transform governance, transparency, and accountability. Albania’s experiment holds vital lessons for India and other democracies grappling with bureaucratic inefficiencies and corruption.
AI in Global Governance
Governments worldwide increasingly use AI to improve public services. Singapore’s chatbot Ask Jamie handles millions of enquiries annually, reducing workload and response times. Estonia employs AI for digital IDs, e-medical records, and e-voting, ensuring secure and efficient services. Canada’s AI-driven tax audits recover billions and detect fraud with 35% higher accuracy. Japan uses AI to predict earthquakes and enhance rescue efforts. Brazil’s São Paulo city cut traffic congestion by 20% with AI traffic systems. South Korea reduced waste collection costs by 43% through AI-managed disposal. Dubai monitors road conditions with AI for timely maintenance. The US saves up to $521 billion yearly by detecting welfare fraud with AI. These examples prove AI’s real-world impact on governance.
India’s Governance Challenges
India faces major governance issues with a vast population and complex bureaucracy. Public procurement is plagued by corruption, delays, and opaque processes. Billions are lost through irregular contracts and inflated costs. While India has progressed with Aadhaar, Digital India, and GSTN, AI adoption remains fragmented and cautious. Political will and systemic strategies are lacking despite available technology. Manual processes cause inefficiency, delays, and discretionary abuse.
Lessons from Albania’s AI Experiment
Albania’s AI minister marks how impartial AI can detect anomalies and flag suspicious contracts without political bias. Real-time public procurement data boosts transparency and citizen participation. AI systems enable faster, consistent decisions, cutting delays and reducing corruption. Cost savings arise from reduced human labour and fraud. Canada’s tax audit success shows AI can increase government revenue. Albania’s model offers a blueprint for India’s reform.
Potential AI Applications in India
AI can streamline welfare distribution, tax audits, infrastructure approvals, and disaster management. Japan’s earthquake prediction model offers a template for India’s National Disaster Management Authority. AI can improve forecasting, planning, and emergency coordination during floods, cyclones, and earthquakes. India’s tech ecosystem, including startups and IT firms, can develop scalable AI governance solutions through public-private partnerships.
Policy Recommendations for India
India needs a comprehensive National AI Governance Policy prioritising procurement, tax, welfare, infrastructure, and disaster management. Data protection laws must safeguard citizens’ privacy. Civil servants require training to work alongside AI, shifting to strategic roles. Small isolated AI projects must give way to systemic reforms. Embracing AI-driven governance is essential to enhance transparency, efficiency, and public trust.
Questions for UPSC:
- Critically discuss the role of Artificial Intelligence in enhancing transparency and accountability in public administration.
- Analyse the challenges and opportunities of integrating AI technologies into India’s governance framework and public service delivery.
- Examine the impact of digital governance initiatives in countries like Estonia and Singapore. How can India adapt these models to its socio-political context?
- Estimate the potential benefits and risks of AI in disaster management and public procurement. Suggest policy measures to address these risks while maximising benefits.
