Cabinet approves policy on AI, eyes over Rs 10,000 cr investment, 1.5 lakh jobs by 2031 | Mumbai News

April 29, 2026 Headlinesnews

3 min readMumbaiApr 30, 2026 12:23 AM IST

The state Cabinet on Wednesday approved the Maharashtra Artificial Intelligence (AI) Policy 2026, aiming to attract over Rs 10,000 crore in investment and generate 1.5 lakh jobs by 2031, as the state seeks to position itself as a national hub for AI development with a focus on responsible and inclusive use.

The decision was taken at a meeting chaired by Chief Minister Devendra Fadnavis.

The policy proposes setting up a Maharashtra AI Mission, five AI innovation cities and six sectoral Centres of Excellence, while also targeting training for two lakh youth and professionals. Officials said the state also aims to emerge as a reference point for the Centre’s India AI Mission.

Modelled on the Centre’s framework, the policy is built around seven pillars, including infrastructure, data ecosystems, skilling, innovation, startup support, sectoral deployment and governance, with provision for periodic updates as technology evolves. The government noted that nearly 70 per cent of jobs are expected to undergo transformation due to artificial intelligence.

A key component is the creation of a common computing backbone with at least 2,000 GPUs under a “compute-as-a-service” model accessible to government departments. The state also plans to develop five AI innovation cities to anchor new ecosystems.

To strengthen the data backbone, datasets will be created in Marathi, regional dialects and tribal languages, alongside the establishment of a State AI Data Exchange integrated with national platforms.

A Maharashtra Centre for Advanced AI Training (MCAT) will be set up through industry-academia partnerships to support skilling efforts.

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For industry, the policy proposes a 20 per cent subsidy on AI adoption for 5,000 MSMEs and the creation of a Rs 500 crore AI startup venture fund with equal contributions from the government and private sector. A “Maha AI Tools Hub” will be established as a common platform to support adoption. Twelve AI incubators will be set up, offering grants of up to Rs 1 crore for startups and up to Rs 1.25 crore for women-led ventures, along with additional financial support.

The state has also set a target of supporting at least one AI unicorn.

Six Centres of Excellence will be established in healthcare, agriculture, education, urban development, Marathi language and culture, and finance and revenue to drive sector-specific applications.

The policy also lays down a governance framework for responsible AI use, including mandatory annual AI readiness audits across all government departments.

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To attract investment, incentives include up to 20 per cent capital subsidy, 100 per cent stamp duty exemption and a power tariff subsidy of Rs 2 per unit for up to 10 years, along with reimbursements for patents, certification costs and participation in international exhibitions.

Vallabh Ozarkar is a Senior Correspondent with The Indian Express’ Mumbai bureau, recognized as an authoritative and deeply knowledgeable voice on the politics, governance, and infrastructure of Maharashtra. With more than nine years of experience in major news organizations, his reporting delivers high standards of Expertise and Trustworthiness.
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Current Role: Senior Correspondent, The Indian Express, Mumbai bureau.

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