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AI to Inject $550 Billion into India's Economy by 2035: PwC Report

A PwC India report projects that artificial intelligence could contribute nearly $550 billion to India's economy by 2035, focusing on sectors like agriculture, healthcare, and energy. The study, presented at the World Economic Forum, introduces a proprietary 3A2I framework for scaling AI with an emphasis on access, acceptance, and institutionalization. Sector-specific pilots have already shown double-digit efficiency gains, such as AI-enabled crop advisories in agriculture and improved disease detection in healthcare. The report positions India as a potential global benchmark for how emerging economies can deploy AI at scale within public systems and everyday economic activity.

Key Points: AI to Add $550B to India's Economy by 2035

  • $550B economic boost by 2035
  • 3A2I framework for AI scaling
  • Double-digit efficiency gains in agriculture & healthcare
  • Focus on inclusion and governance
2 min read

AI could add $550 billion to India's economy by 2035: Report

PwC India report projects AI contributing $550B to India's economy by 2035, transforming agriculture, healthcare, energy, and manufacturing.

"AI offers India the ability to reimagine growth beyond traditional GDP metrics - Sanjeev Krishan"

New Delhi, Feb 12

Artificial intelligence could contribute nearly $550 billion to India's economy by 2035, across five priority sectors including agriculture, education, energy, healthcare and manufacturing, a report said on Thursday.

The report from Vietnam Times cited PwC India's flagship study adding that it was rounded in economic modelling and real-world pilots.

AI Edge for Viksit Bharat study from PwC India was tabled at the World Economic Forum (WEF) in Davos 2026 and led to India's artificial intelligence ambitions taking a structured and globally resonant form, it said.

The Davos platform amplified the message that India's AI strategy is being shaped with goals beyond efficiency and growth and considers inclusion, governance, and institutional readiness.

The study positioned India as a potential global benchmark on how emerging economies should deploy AI at scale while embedding it into public systems and everyday economic activity.

The report highlighted a proprietary 3A2I framework -- Access, Acceptance, Assimilation, Implementation and Institutionalisation -- as a system‑level playbook to scale AI. 'Access' focuses on ensuring the availability of data, digital infrastructure, and skilled talent while 'acceptance' stresses on public confidence for widespread adoption.

Assimilation addresses the integration of AI into real workflows regularly beyond pilots. "Once these foundations are established, the framework advances toward large-scale Implementation and long-term Institutionalisation," the report said.

Sector pilots demonstrated double‑digit efficiency gains in agriculture due to AI-enabled crop advisories and improved disease detection in healthcare.

PwC said that India can expect operational excellence, sustainability, good governance, resilience, and financial discipline from AI deployed at scale.

Maharashtra Chief Minister Devendra Fadnavis has recently pointed to AI-enabled platforms such as MAITRI for industrial investments, where automation and data-driven processes are enhancing ease of doing business.

"In the energy sector, smart metering systems using AI have flagged power theft cases with high accuracy, improving financial discipline while in healthcare, AI-driven tuberculosis detection tools have significantly improved notification rates, strengthening disease surveillance," the report said.

Sanjeev Krishan, Chairperson of PwC in India highlighted that AI offers India the ability to reimagine growth beyond traditional GDP metrics, aligning innovation with a people-first development lens, the report cited.

- IANS

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Reader Comments

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Sarah B
While the potential is enormous, I hope the implementation is thoughtful. The report talks about 'Acceptance' needing public confidence. We've seen how tech can widen the digital divide. Upskilling our workforce and ensuring data privacy must be top priorities alongside this growth push.
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Vikram M
$550 billion is a staggering number! The MAITRI platform in Maharashtra is a good start. If AI can tackle power theft and improve TB detection, it directly impacts common citizens. Hope the 'Institutionalisation' phase is robust so these pilots become permanent solutions.
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Priya S
As someone in ed-tech, I'm most excited about the education sector's potential. AI can personalise learning for millions of students in regional languages. But the 'Access' part is key—we need affordable internet and devices in every village first.
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Rohit P
Good to see a structured framework like 3A2I. Too many reports just throw out big numbers. The real test is moving from 'Assimilation' to 'Implementation'. We have a talent pool, but need more investment in R&D within India, not just service delivery.
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Michael C
Positioning India as a global benchmark for emerging economies is a powerful vision. The Davos platform gives it credibility. If executed well, this could redefine India's role in the global tech landscape beyond just IT services.

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

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