India’s AI push seen contributing $1.7 trillion to economy by 2035
NITI Aayog informed that AI could support India’s 490 million informal workers by improving access to training, healthcare and financial services through voice-based, mobile-first tools.
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India’s accelerated adoption of artificial intelligence could add up to $1.7 trillion to the country’s economy by 2035, positioning the technology as one of the largest growth drivers over the next decade, according to government estimates, as public investment and policy support are scaled up under the IndiaAI Mission.
The projection comes as the government moves from pilot projects to large-scale implementation, signalling a sharper focus on integrating AI across sectors. According to a press release issued by the Press Information Bureau on Tuesday, the government has allocated more than Rs 10,300 crore over a five-year period for the IndiaAI Mission to build advanced computing infrastructure, support start-ups, develop indigenous AI models and expand skilling programmes.
Officials informed that economic gains are expected from AI adoption across healthcare, agriculture, manufacturing, financial services, education, governance and climate services, where automation and data-driven decision-making are already improving productivity and service delivery.
India’s technology sector currently employs more than six million people, and official data suggests AI will create new job categories even as it reshapes existing roles. Industry estimates indicate that the country’s AI talent pool could more than double to over 12.5 lakh professionals by 2027, driven by rising demand for data science, AI engineering and analytics skills.
To support wider adoption, the government has expanded AI compute capacity under the IndiaAI Mission from an initial target of 10,000 GPUs to 38,000 GPUs, which will be offered to start-ups and researchers at subsidised rates, the release stated.
Inclusion and Indian-language access form a central part of the strategy, with officials stating that AI-based tools in Indian languages are being prioritised through platforms such as Bhashini and BharatGen to extend access beyond urban, English-speaking users.
Separately, NITI Aayog informed that AI could support India’s 490 million informal workers by improving access to training, healthcare and financial services through voice-based, mobile-first tools, PTI reported.
