Goldman Sachs Economist: AI Impact on India's Jobs Limited, Some Service Jobs at Risk

Goldman Sachs' chief India economist Santanu Sengupta said AI is unlikely to cause mass unemployment in India, though some service jobs will be affected. He believes the impact will be limited because India has a large workforce, many in manual or physical labor. Construction and retail trade employ about 40% of the workforce and are largely unaffected so far, but postal, telecom, and IT services face higher replacement risk, especially call centers. Goldman estimates that a gradual AI rollout could boost productivity by 0.4 percentage points over the next decade, with gains outweighing job losses. Some areas of finance, healthcare, education, and business services may benefit.