IIGC Releases Comprehensive Code for Influencer Content

Syllabus :GS 3/Economy 

In News

• Recently, the India Influencer Governance Council (IIGC) has released a Code of Standards for India’s growing influencer community.
  • This move follows recent controversies, including government action after remarks by YouTuber Ranveer Allahbadia and concerns over influencers misleading investors.

Who Are Influencers?

• Influencers are digital content creators who use their reach on social platforms (Instagram, YouTube, etc.) to shape opinions, lifestyles, and purchasing decisions. 

Status In India 

• India’s influencer count has surged to over 4 million in 2025, up from under 1 million in 2020, according to influencer marketing platform Qoruz. 
• The top categories driving this growth are fashion, gaming, and arts & entertainment.
  • Fashion leads with 470,000 influencers, followed closely by gaming (467,000) and arts & entertainment (430,000).
• These influencers, each with over 1,000 Instagram followers, create niche content to better engage their audiences. 
• The influencer marketing industry in India is projected to grow from ₹2,344 crore in 2024 to ₹3,375 crore by 2026. 
• The sector also aligns with Prime Minister Narendra Modi’s vision of boosting the creator economy to help achieve a $5-trillion Indian economy.

Reasons for Increase 

• The explosive growth of social media platforms and increased internet penetration in both urban and rural areas have contributed to the rise of influencers. 
• The rise of affordable smartphones and data plans, especially in non-metropolitan areas (which make up 65% of the user base), has accelerated content consumption and enabled individuals from diverse backgrounds to gain online influence. 
• Brands are increasingly viewing them not just as endorsers but as strategic partners who deliver authentic, impactful content. 

Need for Regulating Influencer Marketing

• Surge in Monetised Content: Lack of disclosures blurs the line between personal opinion and advertising.
• Consumer Protection: Misinformation about health, finance, or product efficacy can mislead viewers.
• Data Privacy Concerns: Misuse of audience data and inflated metrics harms transparency.
• Emerging AI Influencers: Deepfakes and non-human influencers pose new ethical dilemmas.
• Vulnerable Audiences: Children and teenagers are at risk from unsafe trends and content.

Key Provisions of the IIGC Code of Standards

• Paid Partnerships: Influencers are required to disclose “any type of material partnership” with a brand, including financial agreements, affiliate marketing commissions etc.
• AI Influencers: The code also requires AI influencers to adhere to the same guidelines, just like human ones, with an added disclaimer revealing their non-human nature. It also prohibits the use of deepfake technology to create AI influencers resembling real people.
• Brand Relations: Influencers are restricted from endorsing products or brands they do not genuinely support or work with competing brands simultaneously. This emphasizes authenticity and avoids misleading endorsements.
• Defluence: The code defines defluence as the act of publicly criticising or speaking negatively about a brand, product, or service. It requires influencers to ensure that their criticism is honest, accurate and free from personal attacks.
• Anti-Discrimination: The code prohibits both explicit and implicit discriminatory content in influencer marketing, requiring content to be inclusive and respectful of all identities.
• Child-Safe Content: Content created by influencers must be safe, positive, and appropriate for children. This highlights the responsibility of influencers, especially when their content may be viewed by younger audiences.
• Sexual Content & Nudity: The code asks influencers to handle content related to sex with “responsibility and sensitivity”. While discussions on these topics may be appropriate in educational, artistic, or health-related contexts, they should not be used in a way that is exploitative, inappropriate, or violates community standards.
• Complaint Forum: A consumer complaint forum is established under the IIGC. This provides a mechanism for addressing grievances related to influencer content and potential violations of the code.

Conclusion and Way Ahead 

• India’s influencer economy is thriving in the digital age, driven by authenticity, trust, and personal connections. As the industry evolves, it presents exciting opportunities for influencers, brands, and content consumers, while also contributing to economic growth and individual empowerment.
• The influencer ecosystem needs stronger policies, platform support, and a focus on authentic storytelling. 

Source :ET