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AI can be growth multiplier, says Nirmala Sitharaman in Budget
Economic Survey also stressed on managing constraints in India's AI journey

AI can be growth multiplier, says Nirmala Sitharaman in Budget

Feb 01, 2026
11:54 am

What's the story

Finance Minister Nirmala Sitharaman has said that cutting-edge technologies, including artificial intelligence (AI), can serve as growth multipliers. She made the statement while presenting Budget 2026 on February 1. However, she also cautioned that these new technologies are not just improving production but also significantly increasing the demand for water and energy resources.

AI constraints

Economic survey on India's AI journey

The Economic Survey 2025-26 also stressed on the importance of managing constraints in India's AI journey. It stated that the country's progress in this field will not depend on who creates the largest model, but rather how well these constraints are managed. These include limitations related to compute, power, talent, jobs, and capital.

Information

FM Sitharaman presents ninth Union Budget

Finance Minister is presenting her ninth Budget in Parliament today (February 1, 2026). Notably, this also marks the first time in India's fiscal history that the Union Budget is being presented on a Sunday.

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