This project develops an AI-powered Smart Traffic Light System utilizing YOLOv8 (You Only Look Once) for real-time vehicle detection to improve and better traffic management. The system dynamically adjusts green light durations based on the number of vehicles detected. If there are five or less then five vehicle detected, the green light duration is calculated as the number of vehicles multiplied by five seconds. If there are more than five vehicles, a fixed 40-second green light duration is applied. Additionally, the system prioritizes emergency vehicles, immediately providing them with a 40-second green light when detected, ensuring faster emergency response times. The system was implemented using Python, OpenCV, and Ultralytics YOLOv8, with inference accelerated through GPU processing. The results demonstrate the effectiveness of the system in real-world traffic management, with improvements in both traffic flow and emergency vehicle prioritization.