As India navigates a projected growth rate of over 7% amidst global uncertainty, the nation's corporate leaders are charting a course where technology acts as a powerful enabler, not a replacement for human ingenuity. Insights from top CEOs of major Indian corporations reveal a consensus: while Artificial Intelligence (AI) and digital transformation are reshaping competitiveness across fintech, agriculture, logistics, and healthcare, placing people and culture at the heart of strategy remains the ultimate differentiator.
Looking Back: Resilience and Digital Foundations in 2025
The year 2025 underscored India's economic resilience, driven by a supportive domestic environment and strategic tech adoption. Mallika Srinivasan, CMD of TAFE, highlighted that technology adoption is now foundational for scaling, efficiency, and global integration. This shift is bolstered by India's demographic dividend, vibrant startup ecosystem, and government initiatives like Digital India and Make in India.
A significant marker of homegrown innovation is the surge in intellectual property. Patent filings have increased by over 44% in recent years, enabling premium pricing, protecting innovations, and supporting rapid expansion. In the automotive sector, Harish Lakshman, Chairman of Rane Group, noted that GST optimisation, lower interest rates, and a favourable monsoon strengthened domestic demand, particularly in rural markets.
However, 2025 was also a year of volatility. Arathi Krishna, MD of Sundram Fasteners, described it as the full arrival of a VUCA world—marked by volatility, uncertainty, complexity, and ambiguity. Trade barriers, tariff disputes, and extreme weather events presented structural risks, pushing companies to invest in balance-sheet strength and supply-chain diversification.
Key Trends to Watch in 2026: AI, Geopolitics, and Human Capital
The outlook for 2026 is defined by three interconnected themes: the deepening of AI, geopolitical shifts, and the irreplaceable value of human expertise.
1. AI Transforms from Tool to Core Infrastructure
AI is rapidly evolving from traditional machine learning to Generative AI and agentic systems. Dr. Jairam Varadaraj, MD of ELGI Equipments, believes Agentic AI will be the game-changer, though we have only started scratching the surface of its potential. In agriculture, as noted by Mallika Srinivasan, AI enables smart, data-driven farming—from predictive insights to autonomous machinery—boosting productivity and sustainability.
In banking, A K Srivastava, MD & CEO of Indian Overseas Bank, predicts a single AI intelligence layer will manage risk, automate operations, and enable prescriptive banking with hyper-personalised consumer offerings. For FMCG, C K Ranganathan, Founder & CMD of CavinKare, states AI is redefining product development, demand sensing, and supply-chain resilience, moving from a disruptor to a key strategic tool.
2. Navigating a Multi-Polar and Protectionist World
The global political economy is moving towards protectionism and bilateral treaties, making free trade more costly and complex. Dr. Jairam Varadaraj pointed out that regulatory envelopes dictating product conformance will increase, presenting differential challenges based on negotiated tariffs. This environment demands more resilient and diversified business strategies, with country-of-origin preferences likely to polarize further due to geopolitical shifts.
3. The Human Element as the Ultimate Strategic Asset
Amidst this technological and geopolitical flux, all leaders unanimously stress that technology cannot replace people. Mallika Srinivasan emphasized that placing people and culture at the heart of strategy elevates leadership as a unifying force. Arathi Krishna warned that winning in 2026 requires designing work around human-AI collaboration, not simple automation. Workers will need skills to interpret and challenge AI model outputs.
Rajiv Lochan of Sundaram Finance summarized the key lesson: in a complex world, adaptability is the ultimate strategic asset. Firms that invested in organisational health and market diversification outperformed those focused solely on short-term cost optimisation.
Sector-Specific Shifts: Automotive, Banking, and Distribution
The trends manifest uniquely across sectors. In automotive, 2026 will see a shift towards "energy-diverse mobility"—with hybrids, flex-fuel, hydrogen-ready systems, and advanced ICE powertrains co-existing with EVs. Smart components and ADAS will see wider adoption.
In banking, modernising core tech stacks with AI, blockchain, and big data will be a top priority. The focus will shift from access to quality in digital public infrastructure (DPI), impacting credit delivery and healthcare.
For FMCG, quick commerce will expand beyond metros to tier-2 and tier-3 cities, requiring new logistics models. Simultaneously, sustainability will transition from a buzzword to a competitive edge, driven by packaging innovation and waste reduction.
As India strides into 2026, the blueprint for success is clear: leverage AI and digital transformation as strategic enablers, build resilient operations for a volatile world, and, above all, invest in the digital capabilities and human talent that will shape the nation's next phase of growth.
