India’s data silos cost up to 7% of welfare spending, threaten AI push: Report

India processes over 20 billion UPI transactions monthly and has enrolled more than 1.4 billion Aadhaar users. However, fragmented government databases are causing financial losses and excluding eligible beneficiaries from welfare schemes. Past data-cleaning efforts have shown significant savings, but data systems largely operate independently, limiting their effectiveness. The report emphasizes the importance of accurate…

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India processes over 20 billion UPI transactions monthly and has enrolled more than 1.4 billion Aadhaar users. However, fragmented government databases are causing financial losses and excluding eligible beneficiaries from welfare schemes. Past data-cleaning efforts have shown significant savings, but data systems largely operate independently, limiting their effectiveness. The report emphasizes the importance of accurate and accessible data for improving governance and deploying AI.

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