Marking a significant leap in its AI development, India is poised to launch its first dedicated AI-focused Special Economic Zone (SEZ) in Nava Raipur, Chhattisgarh. This landmark initiative represents a strategic move toward positioning India as a global hub for artificial intelligence innovation and deployment.

Launched on May 4, 2025, the ‘AI-augmented Data Centre Park features a 2.7-hectare SEZ with a 13.5-acre complex. Financed with an investment of around ₹1,000 crores over two years, this state-of-the-art facility includes a 1.5 lakh sq. ft high-performance data centre, advanced cloud capabilities, and four high-density compute hubs.

This SEZ aligns seamlessly with national missions such as Digital India, Make in India, and the broader IndiaAI Mission. The mission is a central initiative by MeitY and the Digital India Corporation to foster AI innovation through seven pillars covering compute capacity, datasets, skills, startups, and ethical frameworks. By offering access to subsidized GPUs and sovereign data sets via platforms like AIKosha and the Compute Portal, government-backed digital infrastructure is rapidly scaling across India.

This SEZ is designed to develop a domestic AI ecosystem, attracting global tech giants such as Google, Microsoft, OpenAI, and Meta to host services on Indian soil. This strategic positioning will shift India from being a mere consumer to a global producer and host of AI services, strengthening sovereignty in digital infrastructure and enabling economic resilience.

Beyond its technological footprint, the initiative is poised to boost socio-economic inclusion by creating jobs in IT, data science, cybersecurity, and networking, while offering AI training in collaboration with polytechnics and ITIs. Rural, tribal, and female students stand to gain significantly as the SEZ brings digital opportunities closer to underserved communities, helping bridge the digital divide.

This SEZ reflects insights from NITI Aayog, which recently emphasized the need for AI-ready ecosystems built on solid land, power, network, computer, talent, and streamlined policy frameworks. The SEZ’s robust infrastructure and connectivity set a strong precedent. Thus, India’s first AI SEZ represents not only a robust infrastructure but also a strategic advancement. Combining world-class computer infrastructure, inclusive capability building, and global outreach, it strengthens India’s position as a leading digital economy ready to shape the future of AI on the world stage.