CEOs in India double down on AI and Talent to Accelerate Transformation

16 October 2025– CEOs in India are demonstrating renewed confidence in their organisations’ growth prospects, reflecting strong resilience and strategic clarity, according to KPMG 2025 India CEO Outlook of 125 business leaders across industries and sectors.

The report reveals that confidence among CEOs in India in their own companies’ growth prospects has climbed to 83 per cent, up from 68 per cent in 2024 — a significant leap that outpaces CEOs globally from 76 per cent in 2024 to 79 per cent in 2025.

Despite a decline in global economic confidence—from 80 percent in 2024 to 63 percent in 2025—Indian CEOs remain focused on innovation, resilience, and long-term growth strategies. Rather than retreating, they are prioritising strategic investments in technology and talent to drive transformation.

Key findings:

AI and Technology: AI remains a top investment priority, with 57 percent of Indian CEOs planning to allocate 10–20 percent of their budgets to AI over the next 12 months. A majority (73 percent) expect returns on AI investments within one to three years. 86 percent believe their boards are well-equipped to navigate advanced technology adoption, including leveraging data and AI for sustainable growth.

Risk and Resilience: Integration of AI into organisational processes is cited as the most pressing challenge shaping short-term decision-making. Technology-related factors such as cybercrime, AI workforce readiness, and successful AI integration consistently rank among the top factors impacting three-year growth.

Talent: 91 percent of Indian CEOs advocate for investing in skill development and lifelong learning to safeguard future talent. 74 percent recognize that AI workforce readiness will significantly influence organisational prosperity over the next three years. However, 68 percent agree that competition for AI talent could constrain future growth.

ESG and Sustainability: CEOs agree that AI can support sustainability efforts by improving data quality and reporting (75 percent), identifying resource efficiency opportunities (72 percent), and reducing emissions (77 percent).

Yezdi Nagporewalla, CEO, KPMG in India said “In an era of global uncertainty, CEOs in India are demonstrating remarkable resilience and a future-focused mindset. By embracing emerging technologies like AI, prioritising cybersecurity, and advancing ESG goals, they are confident of navigating complexity. At the same time, a renewed focus on talent strategy, redesigning roles, embedding innovation, and fostering continuous learning is helping organisations stay competitive and ready for what lies ahead.” 

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