World Bank Ranks India Among Top 10 Emerging Markets in AI Readiness
India has been ranked among the top 10 emerging-market performers in Artificial Intelligence (AI) readiness by the World Bank. The India AI readiness 2026 was highlighted in its report “India and Artificial Intelligence: Seizing the Development Opportunity”, released on 6 October 2026. The report highlighted India’s technical workforce, globally integrated IT sector and digital public infrastructure (DPI) as important foundations for expanding AI adoption.
What is AI Readiness?
AI readiness refers to the ability of an economy to develop, adopt and scale artificial intelligence across businesses and public services. It depends on several factors, including:
- Availability of skilled technical workforce.
- Digital and computing infrastructure.
- Private and public investment.
- Enterprise-level AI adoption.
- Regulatory and policy environment.
- Access to digital technologies.
India’s large technology workforce and established digital ecosystem provide a significant foundation for AI-led economic development.
AI Investment and Workforce in India
Private investment in AI in India increased substantially from US$1.2 billion in 2024 to US$4.1 billion in 2025. India has also witnessed rapid expansion of Global Capability Centres (GCCs). The number of professionals employed by GCCs increased from approximately 1.9 million in 2024 to 2.36 million in 2025.
GCCs provide services such as:
- Information technology.
- Data analytics.
- Research and development.
- Finance and accounting.
- Business and professional services.
World Bank’s Policy Recommendations
The World Bank noted that the long-term economic and labour-market effects of AI remain uncertain. It recommended cross-cutting measures to ensure that AI contributes to inclusive economic development. These include:
1. Strengthening AI Infrastructure
India needs deeper access to digital infrastructure and other technologies required for AI development and deployment.
2. Improving the Business Environment
A supportive regulatory and business environment can encourage innovation and private investment in AI.
3. Expanding Access to AI
AI technologies should become accessible to a wider range of businesses, workers and citizens.
4. Strengthening Labour Capacity
Investment in skills, education and workforce adaptation will be important as AI changes the nature of employment.
AI Adoption and India’s Economic Growth
Around 23% of Indian firms reported using some form of AI as of October 2026. This remained below the corresponding figure of approximately 43% in the United States, with an even wider gap in advanced AI applications.
The World Bank nevertheless highlighted the potential of AI to improve productivity and public service delivery in India.
On 6 October 2026, the World Bank also raised its forecast for India’s FY2026–27 economic growth to 7.1%, highlighting the continued strength of the Indian economy.
India AI readiness 2026: Important Facts for Exams
- Organisation: World Bank.
- 2026 assessment: India among the top 10 emerging-market performers in AI readiness.
- Report: India and Artificial Intelligence: Seizing the Development Opportunity.
- AI investment in India: US$1.2 billion (2024) → US$4.1 billion (2025).
- GCC workforce: 1.9 million (2024) → 2.36 million (2025).
- Indian firms using AI: Around 23%.
- US firms using AI: Around 43%.
- Key AI foundations in India: Skilled workforce, IT sector and Digital Public Infrastructure.
- World Bank FY27 growth forecast for India: 7.1%.
- Key policy priorities: Infrastructure, business environment, AI access and labour capacity.
