India has emerged among the world's top 10 countries for artificial intelligence readiness, according to the World Bank, which has highlighted the country's technical workforce, digital public infrastructure and growing private investment as key factors supporting its AI ecosystem.
The assessment comes as part of the World Bank's latest India Development Update, which includes a special focus titled "India and Artificial Intelligence: Seizing the Development Opportunity." The report places India among the leading emerging-market performers in AI readiness and examines how the technology could affect productivity, jobs and public services.
India's position is supported by its large pool of technical talent, globally integrated information technology sector and digital public infrastructure. The World Bank said private AI investment in the country more than tripled from $1.2 billion in 2024 to $4.1 billion in 2025.
The country's Global Capability Centre ecosystem is another part of this technology base. According to the World Bank, GCC employment increased from 1.9 million professionals in 2024 to 2.36 million in 2025, reflecting the expanding role of India in global technology and business operations.
The World Bank's broader AI framework identifies four foundations required for countries to build effective AI ecosystems: connectivity, compute, context and competency. These cover digital and energy infrastructure, access to computing resources, relevant data and applications, and the skills required to use and develop AI.
However, the assessment also points to gaps that could affect how widely the benefits of AI are distributed in India. The World Bank has called for AI adoption to expand beyond large companies and major urban centres, alongside improvements in infrastructure, workforce skills and the business environment.
The report also recommends using AI to improve public service delivery while developing governance frameworks that address areas such as data security, privacy and regulatory uncertainty.
India's labour market could offer a different AI trajectory from some advanced economies. The report notes that the country has a smaller proportion of cognitive jobs exposed to direct substitution, creating opportunities for AI to complement workers and improve productivity. At the same time, workforce development will remain important as the technology changes the skills required across industries.
The World Bank has also highlighted the potential of "Small AI", referring to targeted and locally adapted applications that can operate with fewer resources and address specific needs in sectors such as agriculture, healthcare and education.
The findings place India's AI opportunity beyond the development of large models alone, with infrastructure, skills, local applications and responsible adoption likely to determine how effectively the country converts AI readiness into wider economic impact.
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