AI plan collides with funding reality as budget halves outlay
Published on: Feb. 3, 2026, 6 a.m. | Source: The Economic Times
The budget decision to halve allocation for the IndiaAI Mission to Rs 1,000 crore in 2026-27 from Rs 2,000 crore this fiscal year has raised concerns over the country’s AI push, even as officials said it’s part of a deliberate strategy. Experts said building meaningful artificial intelligence capacity will require significantly higher and more sustained public investment, and warned that India risks falling behind in the global AI race if government funding does not scale up.
