Prime Minister Narendra Modi said on Feb. 15 that India will position itself as a global hub for digital infrastructure and AI following Budget 2026-27 incentives to boost data-centre investment. The Budget includes measures such as tax holidays until 2047 for cloud revenues routed through Indian data centres and 15% Safe Harbour margins. Officials say this aims to attract global investment, expand computing capacity and create jobs.
Key Points
- 1Announces tax incentives including tax holiday until 2047 for cloud revenues routed through Indian data centres
- 2Highlights that expanded data-centre capacity provides computing power essential for domestic AI development and scaling
- 3Invites global firms to host data in India, signaling opportunities for investment, infrastructure development and jobs
Scoring Rationale
Strong policy incentives and broad industry impact drive score, limited implementation and regulatory detail temper certainty.
Sources
Public references used for this report.
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