Kerala Cabinet Approves IT Policy 2026 to Boost Tech Economy and Create Jobs
Kerala's IT Policy 2026 Aims for Major Tech Growth and Job Creation

Kerala Cabinet Greenlights IT Policy 2026 to Transform State into Tech Powerhouse

The Kerala state cabinet, in a significant move on Friday, granted its official approval to the ambitious Information Technology Policy 2026. This comprehensive strategy is designed to firmly establish Kerala as a leading knowledge-based and innovation-driven economy within India, leveraging technology as a primary growth engine.

Ambitious Economic and Employment Targets

The policy outlines a series of bold objectives aimed at substantially elevating Kerala's position in the national IT landscape. A core goal is to secure at least 10% of India's total IT export share. To support this expansion, the state plans to triple the availability of IT space through active private sector participation and a decentralized growth model that spreads development across various regions.

On the employment front, the government has set a target to generate a minimum of 500,000 new jobs within the IT and its closely related sectors. Furthermore, the policy aims to dramatically increase the startup ecosystem, with a goal of nurturing 20,000 startups. The vision extends to capturing a 5-10% share in India's high-technology segments, including cutting-edge fields like space technology, aerospace, defence electronics, artificial intelligence, quantum computing, and genomics.

Infrastructure and Governance Overhaul

A major pillar of the policy is a massive upgrade to digital and physical infrastructure. The government promises to deliver 100% internet access to all households across the state through extensive fiber-optic connectivity. To create more IT parks, a land pooling mechanism will be implemented, alongside the expansion of plug-and-play workspaces into new urban centers.

Incentives are planned to promote the establishment of data centers, and a dedicated critical infrastructure fund will be created. This fund is intended to ensure the smooth operation of IT parks and to mitigate disruptions caused by events like natural disasters or pandemics. Recognizing the need for a business-friendly environment, the policy mandates the simplification of labor laws specifically for the IT and high-tech industries.

Digital Governance and Data Security

The policy introduces significant reforms in public service delivery and data management. It proposes a unified user interface, built on an enterprise architecture framework, to provide citizens with seamless access to all government services. To end bureaucratic redundancy, an API-based mechanism will be introduced. This system will centralize the collection and maintenance of citizen data in a single, secure system instead of having multiple departments manage separate databases. Information will then be shared with authorized agencies in a strictly regulated manner, with new legal and institutional frameworks being established to ensure robust data privacy and protection.

Education and Skill Development Focus

Preparing the future workforce is a critical component of the IT Policy 2026. In the education sector, new Information and Communication Technology (ICT) textbooks will be developed for students from classes I to X, incorporating content on emerging technologies. Over the next five years, the government plans to provide specialized training in advanced technology domains to 2.5 million students.

To build a strong, specialized skill base, the state will establish Centers of Excellence in key areas such as Artificial Intelligence, blockchain technology, data analytics, and bioinformatics. This holistic approach aims to create a sustainable pipeline of talent to support the policy's broader economic ambitions.