India’s Tech Spending Predicted to Surge by 13.4% in 2026
India’s technology spending is projected to grow at 13.4% in 2026, making it the fastest-growing major market in the Asia-Pacific region, according to Forrester Research’s latest forecast released on March 26. This positions India as a key driver of global technology investment despite a slight dip from the previous year’s 13.7% growth rate.
The robust growth is being propelled by:
- Rapid cloud adoption,
- Data localization regulations driving major onshore infrastructure investment, and
- Rising software investment as vendors embed AI capabilities into renewal pricing.
Domestic enterprise demand continues to be the primary driver of India’s double-digit tech spending growth, with companies prioritizing digital transformation initiatives.
Forrester estimates that the Asia-Pacific region will spend over $437 billion on acquiring new technology between 2025 and 2030, with total spending growing by 9.3%. India’s tech salaries are also projected to jump by nearly 10% in 2026, the highest in the region, reflecting strong IT spending growth and demand for skilled technology professionals. The data localization rules are particularly spurring data center growth of more than 20% in the coming year.
Source: Business Standard