India

How India Leverages AI And Tech For Industry 5.0 Preparedness

India is benefiting from global trade reorientation and rapidly advancing new technologies like artificial intelligence. The trade restructuring has enabled it and fellow BRICS members, including Brazil, Egypt, Indonesia, South Africa, and the United Arab Emirates, to represent more than one-fifth of global GDP, up from just 8% during the Cold War. Additionally, India, the world’s most populated country, far outpaces its Southeast Asian peers on trade and tech-related investment.

Meanwhile, India is rapidly advancing on new technologies. Its IndiaAI mission is a holistic government approach to build AI ecosystems with workforce upskilling, digital infrastructures, investments in tech firms, and regulations to ensure responsible development and use.

Sustainability

India excels in facilitating sustainable trade

Only 13% of US CEOs of New York Stock Exchange-listed firms plan to reshore operations domestically, according to an Oliver Wyman Forum survey of 165 CEOs of NYSE-listed companies. With India ranking sixth in the index for its ability to facilitate sustainable trade, the nation is in position to capitalize. India’s Turant Customs program offers a streamlined clearance process that eliminates the need for physical interaction between customs authorities and other stakeholders like importers or exporters.

While China’s share of EU imports has declined since 2020, India has gained ground. India’s trade agreement with the European Free Trade Association, activated in October 2025, includes a $100 billion commitment to investments in India over 15 years along with legal provisions on sustainable development. The government’s benchmarking initiative for logistics includes metrics for green logistics initiatives beginning in 2025.

Large Indian commodity players are using artificial intelligence to improve demand forecasting and optimize supply chains and operations. With commodity trading a low-margin, high-volume industry, efficiency improvements of 1% to 2% can significantly enhance productivity, according to an Oliver Wyman report.

Resilience

India’s startup ecosystem is buzzing with AI and billions in investments

India’s AI trajectory is strong in all facets. The country has experienced a dramatic surge in private AI investment since 2021, garnering more than $7 billion in the past four years, and is a top leader in AI investment, according to Oliver Wyman research. Indeed, 89% of new startups launched in India in 2024 used AI in their products and services. The AI for India 2030 initiative, a coalition to drive AI adoption and socio economic development, offers a sandbox approach for startups and small businesses to gain access to high-performing computing power and mentorship.

A core tenant of the IndiaAI plan is to democratize financial support for AI entrepreneurs; encourage partnerships between venture capitalists, government authorities, and industry to enable more funding; and ensure equitable resource distribution to Indian startups that are outside of urban centers like Delhi and Mumbai.

India’s government is investing billions of dollars in AI infrastructure

The Indian government announced a roughly $1.25 billion investment over five years into the IndiaAI Mission to expand domestic computing infrastructure. That’s on top of a $1.25 billion investment in AI projects to fund computing infrastructure, develop large language models, fund AI startups, and develop AI applications for the public sector in March 2024.

India is developing a sovereign AI system — a domestic AI platform trained on India-specific data — and increasing cloud computing capacity with the support of several local businesses. The AI model will be deployed to enhance governance and public service access.

Talent

India's AI adoption plans include upskilled workforces

IndiaAI’s plan includes measures to upskill citizens with democratized access to AI and educational opportunities. Such measures include a fellowship initiative for university-level students who are pursuing AI-related studies and research, access to data labs and AI education for cities outside hubs like Delhi and Mumbai, and AI courses designed for entry-level workers across sectors like manufacturing and agriculture.

Meanwhile, Indian workers are enthusiastic about AI’s potential, with 86% reporting enhanced work efficiency through AI, compared with a 50% global average, according to a May 2025 Oliver Wyman Forum survey of workers in 17 nations. And 61% of Indians say they use the additional time saved by AI to complete other tasks that were previously on hold, while 38% are pursuing additional projects at work unrelated to their primary responsibilities. And nearly half of workers say they are using additional time gained to devote themselves to new learning and development opportunities.