The Nobel laureate also said that Anna Hazare's decision to stay away from the "crusade" was not wise.
"Anna Hazare did not join the crusade which I think was not a very wise thing to do in the sense that you stand outside the legal system," Sen said during a debate on NDTV.
Sen noted that AAP had raised basic issues to mobilise people.
He also criticised Supreme Court's verdict restoring the ban on gay sex in India and said that criminalisation of homosexuality is a violation of the protection of minority rights.
"India while its is a democracy, some people are privileged and some people are not... when it comes to the rights of minorities, whether it is religious minority or in terms of lifestyle like gay for example, criminalisation of that would be a violation of protection rights of minorities," Sen said.
Infosys mentor NR Narayana Murthy also praised Kejriwal and his party and said what he has brought to the table is that if one has a few powerful messages, he can win elections with very little money.
"What Kejriwal has brought to the table is that if one has a few powerful messages, you can win elections with very little money. You can get a party ready fairly quickly to have a stunning debut. He has also given hope and confidence to a lot of people across various cities of the country to say we too can participate in the political process."
Former Union minister Arun Shourie described AAP's rise as a "stunning announcement" for political parties that the people are fed up.
"It is a stunning announcement for political parties that the people are fed up... everybody will be forced to field better candidates. But his economic policies are so regressive that it will certainly damage economic growth in many ways and that will lead to social tensions," he said.