Agentic AI Could Boost Productivity by Up To 10% But Governance Is Key: OpenAI’s Chief Economist

The next phase in the evolution of artificial intelligence is the rise of agentic applications capable of autonomously creating, transacting, and driving innovation which could boost productivity by 7% to 10% across sectors and organizations worldwide, but achieving it would require strong governance of the technology, OpenAI  Chief Economist Ronnie Chatterji said in Delhi on March 18. 

“Agentic AI—AI that can autonomously create, transact, and build new organizations—could lead to unprecedented productivity gains. Some economists project a 7% to 10% increase in productivity, though we aren't there yet. Realising this potential will require strong governance and a foundation of trust”, added Chatterji. 

Agentic AI is again an advanced version of AI which can operate multiple tasks and function without human interventions and also carries capability to make decisions.

OpenAI’s Chief Economist, spoke at a panel during the 10th edition of the 'Raisina Dialogue.' He was also joined by  Ashwini Vaishnaw,  Minister for Railways; Information & Broadcasting; Electronics & Information Technology, India  and Vinod K. Dham, Founder and Executive Managing Partner, Indo-US Venture Partners, United States of America. 

As the theme of the discussion was India’s current position in the global AI landscape, Chatterji highlighted India’s strong talent pool that is a big advantage for the country. 

He said, “India has over a million STEM graduates annually—positions the country uniquely to adapt to global shifts in AI and technology. With a young, dynamic workforce for the next three decades, India has a significant advantage to stay on the cutting edge.

“The country's investments in AI infrastructure—data centers, GPUs, and energy connectivity—are commendable. Recently, a new AI infrastructure initiative was launched, highlighting India's commitment to this space.”

However, he raised a key question: What will be the 'killer applications' for AI in India? The potential spans various sectors like education, defense, and healthcare. 

Chatterji said that Identifying and capitalizing on these applications will determine the scale of AI's economic impact in the country. 

Globally, there's an increased focus on critical technologies, secure supply chains, and resilient infrastructure, reflecting a shift toward greater nationalism and protectionism. 

“While the world is experiencing heightened geopolitical tensions, it doesn't diminish the potential for a strong US-India partnership”, he added.