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India’s Budget 2026 Must Propel AI Startups with R&D Support, Tax Relief, and Credit Access

Kedia urges India’s 2026 Budget to enhance deeptech startups with R&D incentives, tax relief, and streamlined credit access for global competitiveness.

Ankit Kedia, Founder and Lead Investor of Capital-A, has highlighted the significant strides made by India’s startup ecosystem over recent years, particularly in sectors such as deeptech, advanced manufacturing, climate systems, and industrial innovation. In a statement, Kedia noted that founders are now building with enhanced technical depth and ambition, which is increasingly relevant on a global scale. He emphasized that the convergence of capital and talent is fostering early validation that extends beyond traditional software-led models.

Kedia pointed out that the crucial element now requiring focus is the execution layer. He remarked, “Scaling deeptech and manufacturing businesses requires support through long development cycles involving certification, validation, extended pilots, and early deployments, especially in sectors where reliability, safety, and trust determine adoption.” According to him, India’s unique advantages lie in its national scale, mission-driven government demand, and cost discipline, which can provide credibility and facilitate rapid learning cycles. This framework positions domestic companies favorably as they work to become globally competitive suppliers post-qualification.

Highlighting the pathway for sustained success, Kedia urged that the upcoming Union Budget should prioritize the execution ecosystem. He called for shared testing and certification infrastructure, predictable regulatory pathways, and incentives that align with longer gestation timelines. Such initiatives, he believes, would be instrumental in attracting more domestic institutions and family offices into deeptech investing, thereby ensuring that India’s innovation efforts translate into lasting industrial capabilities and long-term value creation.

The call for a supportive framework arrives at a pivotal time when India is increasingly recognized as a burgeoning hub for technological innovation. Many startups across the country are now pushing the envelope in various domains, presenting an opportunity for India to emerge as a leader in the global market. With government initiatives aimed at bolstering entrepreneurship, the foundation for growth is being laid.

As the landscape evolves, it is essential for policymakers to consider the insights from industry leaders like Kedia. The establishment of robust support systems for the execution layer may catalyze a new wave of innovation, enabling startups to navigate the complexities of development cycles more efficiently. By providing the necessary resources and infrastructure, the government can help startups maximize their potential and enhance their competitiveness on a worldwide scale.

Ultimately, Kedia’s perspective underscores a broader narrative about India’s transformative journey in the technology sector. With the right support mechanisms and a focus on long-term outcomes, the country can solidify its position as a global player in deeptech and advanced manufacturing, while simultaneously driving sustainable industrial growth necessary for the future.

For more information on India’s evolving startup ecosystem, visit Startup India or explore insights from organizations like NASSCOM that are actively engaged in fostering innovation and entrepreneurship across the nation.

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The AiPressa Staff team brings you comprehensive coverage of the artificial intelligence industry, including breaking news, research developments, business trends, and policy updates. Our mission is to keep you informed about the rapidly evolving world of AI technology.

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