India among top 10 emerging markets in AI readiness; private AI investment triples: World Bank
- IBEF
- October 7, 2026
India has emerged among the top 10 leading emerging-market performers in artificial intelligence (AI) readiness, supported by its large technical workforce, globally integrated IT sector and digital public infrastructure, according to the World Bank’s latest report, India and Artificial Intelligence: Seizing the Development Opportunity. Private investment in AI in India more than tripled to Rs. 36,231.70 crore (US$ 4.1 billion) in 2025 from Rs. 10,604.40 crore (US$ 1.2 billion) in 2024, highlighting growing investor interest in the country’s AI ecosystem. The report also noted that the number of professionals employed by Global Capability Centres (GCCs) increased to 2.36 million in 2025 from 1.9 million a year earlier, reflecting the expanding role of technology-driven services and skilled talent in India’s economy. The World Bank highlighted India’s potential to use AI as a development tool to improve productivity and public services, while noting that the long-term economic and labour market impact of AI remains uncertain.
The World Bank has called for cross-cutting policy measures to strengthen AI-enabling infrastructure, improve the business environment, broaden access to AI and enhance labour capacity so that the benefits of the technology can be widely shared. Through AgriConnect, the World Bank Group is also investing in “small AI” tools that are targeted and locally adapted, with the objective of extending AI benefits to a wider section of the population while supporting workers during the technology transition. The report noted that for most South Asian economies, the largest gains from AI are likely to come from adopting and adapting technologies to local conditions, including through small AI applications suited to low-resource settings. The accompanying South Asia Economic Update projects that South Asia will grow by 6.9% in 2026, retaining its position as the world’s fastest-growing region. India’s strong AI readiness, supported by digital infrastructure, technical capabilities and an integrated IT industry, positions the country to further leverage AI applications across productivity, public services and economic development.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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