Indian Economy News

India expects over US$ 200 billion AI investment in next two years: Union Minister Mr. Ashwini Vaishnaw

  • IBEF
  • February 18, 2026

According to the Union Minister for Electronics & Information Technology, Railways, and Information & Broadcasting at the Government of India, Mr. Ashwini Vaishnaw, India will attract more than Rs. 18.13 lakh crore (US$ 200 Billion) in investments related to the Artificial Intelligence (AI) ecosystem in India over the next two years. The investments that are forecasted to come into the country will occur across all layers of the entire AI value chain, including infrastructure, compute capacity, data frameworks and models, as well as end-user applications. The expected investment into the various AI areas indicates that global trust in the Indian digital economy, which is growing rapidly, is improving. It is expected that factors driving investment are India's large pool of talented individuals, a growing number of new start-ups being created, and the increasing number of areas where companies are using AI, from healthcare, manufacturing companies, and banks to government agencies. 
A large part of these investments will go to strengthen infrastructure for artificial intelligence, including data centre infrastructure and higher-performance computing capabilities. The momentum for India in AI is accelerating, benefiting from a combination of factors including favourable policy initiatives, increased demand for digital services, and active participation by global technology enterprises. In addition, the government is emphasizing increasing computing capacity through initiatives such as the large-scale implementation of Graphics Processing Units (GPUs) and creating a robust digital public infrastructure that is robust. All these efforts are meant to promote innovation, enhance access to Artificial Intelligence (AI) tools, and position India as a global centre for developing and deploying AI in the next few years.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.

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