Archive · 2 Jan 2026
India's ₹10 Trillion Capex Focused on Power and AI
India is planning to spend a huge amount of money, ₹10 trillion, on new projects.
Most of this money is going to be used for making more electricity and building technology for artificial intelligence (AI).
Experts say that AI is becoming very important all over the world, including in India.
The government is also giving a lot of attention to AI, so this trend is likely to continue.
However, this big spending does not mean that the whole economy is getting better; it is mostly focused on these two areas.
India plans ₹10 trillion in new projects, mostly in power and services.
AI infrastructure is a high priority for the Indian government.
Madan Sabnavis, chief economist at Bank of Baroda, notes AI's global and national significance.
The capex concentration does not indicate a broader economic revival.
The trend is likely to persist due to government focus and global AI trends.
- Who
- Indian government and private sector
- What
- ₹10 trillion in new projects
- When
- Not specified
- Where
- India
- Why
- To meet rising electricity demand and build AI infrastructure
- Total Capex
- ₹10 trillion
- Key Sectors
- Power and Services
- AI Priority
- High government priority
- Economist
- Madan Sabnavis, Bank of Baroda
- Global Trend
- AI catching on worldwide