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World Bank Says India Ranks Among AI-Ready Emerging Markets
The World Bank says India is one of the emerging markets best prepared to use artificial intelligence.
Investment in AI in India grew to USD 4.1 billion in 2025, more than three times the previous year’s amount.
More people also worked at Global Capability Centres.
The report says AI could help workers, businesses and public services, but its long-term effects are not yet clear.
It says India needs better infrastructure and more workers with useful skills.
Small businesses should also find it easier to adopt AI.
The World Bank supports locally adapted AI tools through AgriConnect.
The report says governments should also protect data and make clear rules.
The World Bank says India ranks among the top 10 emerging-market performers in AI readiness.
Private AI investment in India rose to USD 4.1 billion in 2025, up from USD 1.2 billion in 2024.
Employment at Global Capability Centres increased to 2.36 million in 2025 from 1.9 million a year earlier.
The report says AI’s long-term effects on the economy and labour market remain uncertain.
It recommends improving infrastructure, workforce skills, business conditions, access to AI and safeguards for data security and privacy.
- Who
- The World Bank assessed India’s AI readiness and recommended measures for governments.
- What
- Its report says India is among the top 10 emerging-market performers in AI readiness, while private AI investment more than tripled in 2025.
- Where
- India, with additional discussion of South Asia.
- When
- The report was described as released on Tuesday; it cites investment and workforce figures for 2024 and 2025 and a regional growth projection for 2026.
- Why
- The report says improving readiness and addressing adoption barriers could help AI boost productivity, expand exports and improve public services.
Potential benefits
Risks and constraints
AI’s development impact
Potential benefits
The World Bank says AI could boost productivity, expand export opportunities and improve public services.
Risks and constraints
The report says AI’s long-term economic and labour-market effects remain uncertain, and foundational gaps could hold back adoption.
Adoption and safeguards
Potential benefits
Wider access, local innovation and tools adapted to local conditions—including small AI applications—could spread benefits.
Risks and constraints
The report says governments need clear rules that reduce uncertainty while protecting data security and privacy, and measures to support workers through the transition.
Key facts
- Report
- India and Artificial Intelligence: Seizing the Development Opportunity
- AI readiness
- India is among the top 10 leading emerging-market performers, according to the World Bank.
- Private AI investment
- USD 4.1 billion in 2025, compared with USD 1.2 billion in 2024.
- Global Capability Centre professionals
- 2.36 million in 2025, up from 1.9 million a year earlier.
- South Asia growth projection
- 6.9 per cent in 2026, according to the South Asia Economic Update.
- Recommended measures
- Strengthen skills and physical and digital infrastructure, improve the business environment, widen AI access and establish clear safeguards and regulation.
Quotes
Paul Procee
World Bank Acting Country Director for India
“Harnessing AI as a development tool – not just a technology – could be one of the most powerful levers India has to boost productivity and improve public services.”
livemint.com
CNBC TV 18
Franziska Ohnsorge
World Bank Group Chief Economist for Asia
“The adoption of AI has the potential to transform South Asia's development trajectory by boosting labour productivity, expanding export opportunities, and improving public service delivery.”
livemint.com
CNBC TV 18
Sources
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