<h1>AI and Tech Transform Indian Banking: From Nationalization to Digital Currency, Balancing Innovation with Ethics.</h1> The Deputy Governor of the Reserve Bank of India highlighted the transformative role of technology and AI in banking during a virtual address at the Indian Economic Association conference. The evolution of Indian banking is categorized into three phases: nationalization, liberalization, and democratization, with a focus on financial inclusion and technology. The RBI's initiatives, including UPI and Central Bank Digital Currency, are driving innovation. AI's potential in the financial sector is acknowledged, but concerns about data bias, governance, and transparency are emphasized. A framework for responsible AI deployment, balancing innovation with ethical considerations, is advocated.