India financial technology spending to grow 21% annually

The wider enterprise market is forecast at 15.5%.

Banking, financial services and insurance (BFSI) will be the largest vertical segment in India’s enterprise information and communications technology (ICT) market, accounting for 14.5% of cumulative ICT revenue between 2025 and 2030, according to GlobalData.

BFSI ICT spending is expected to grow at a compound annual growth rate (CAGR) of 20.6% over the period, driven by investment in digital banking and payments, cybersecurity, data protection, core system modernisation, real-time risk analytics and digital onboarding.

India’s enterprise ICT market is forecast to grow at a CAGR of 15.5% through 2030, supported by rising artificial intelligence (AI) adoption, cloud transformation, data centre investment and digital infrastructure spending, GlobalData said in its India Enterprise ICT Country Intelligence Report.

Insurance and capital markets firms are also contributing to BFSI technology demand as distribution and claims processing increasingly move online.

The wider increase in enterprise technology spending is supported by strong investment sentiment. 

GlobalData’s 2026 ICT Customer Insight Survey found that 92.3% of enterprise ICT decision-makers in India had increased their ICT budgets in 2026 compared with the previous year.

Bhushan Firke, technology analyst at GlobalData, said government and private-sector investment were supporting the expansion. 

The government has approved $1.2 billion through 2029 to strengthen the AI ecosystem and expand access to high-end computing.

India’s more than 1,700 global capability centres are also driving demand for cloud, cybersecurity, data centre capacity, networking and enterprise software as they provide technology, engineering and research and development services.

Cloud computing will remain the largest IT solution segment, accounting for 17.9% of cumulative ICT revenue between 2025 and 2030. 

It is expected to grow at a CAGR of 21.1% as enterprises shift from traditional on-premise systems to public and hybrid cloud platforms.

AI will be the fastest-growing IT solution segment, with a CAGR of 54% as businesses move applications from pilot projects into production. 

GlobalData said the growth of AI and cloud will reinforce demand for each other, as production AI systems require significant cloud computing capacity.

Beyond BFSI, agriculture and forestry, manufacturing and information technology are also expected to drive ICT demand. 

Agriculture is increasing its use of sensors, drones, geographic information systems and farmer-facing applications, whilst manufacturers are adopting automation, real-time monitoring and predictive maintenance as part of Industry 4.0.

Firke said small and medium-sized enterprises were also increasing ICT adoption as digitisation becomes more important to competitiveness, helped by improving digital infrastructure, subsidies and greater access to cloud and digital commerce platforms.