Budget 2026–27 Sets the Stage for India as a Global Hub for Cloud and AI Infrastructure

• Union Budget 2026–27 proposes a tax holiday up to 2047 for eligible foreign cloud providers that route global operations through India-based data centres.
• Coupled with India Semiconductor Mission (ISM) 2.0 and the IndiaAI Mission, the move signals a strategic pivot to make India a global hub for cloud + AI infrastructure.
• Relevant for UPSC under GS-III (Indian Economy, S&T) — taxation, digital infrastructure, semiconductors, AI policy.