Indian CEOs remain optimistic about business growth over the next three years, even as cybersecurity threats, ethical concerns around artificial intelligence (AI) and talent shortages reshape corporate priorities, according to KPMG’s 2026 India CEO Outlook.
The survey found that 87% of CEOs in India are confident about their organisations’ growth prospects over the next three years, exceeding the global average of 84%. However, sustaining that growth will require companies to strengthen digital resilience, invest in workforce capabilities and ensure responsible AI adoption amid geopolitical uncertainty and economic volatility.
Based on responses from 125 CEOs in India, KPMG’s annual Global CEO Outlook survey highlights a shift in corporate strategy from managing disruption to using resilience, technology and innovation as drivers of long-term growth.
AI investment gathers pace, but ethical concerns persist
AI has emerged as a strategic investment priority for 78% of CEOs in India, while 97% expressed confidence in their ability to manage AI-driven business and workforce transformation.
However, ethical challenges associated with AI implementation remain a significant hurdle, cited by 64% of Indian CEOs, compared with 57% globally. The findings underscore the growing importance of responsible AI governance, trusted data and accountability as businesses move beyond experimentation towards measurable returns from technology investments.
AI is also increasingly being viewed as a tool for advancing sustainability goals. About 84% of CEOs in India believe AI can enable more responsible innovation aligned with climate objectives, compared with 80% globally.
Yezdi Nagporewalla, chief executive officer of KPMG in India, said business success would increasingly depend on organisations’ ability to strengthen cyber resilience, build workforce capabilities and embed trust across the enterprise as investments in AI, digital transformation and innovation accelerate.
He added that businesses best positioned to thrive would be those capable of translating resilience into sustained growth and converting technology investments into measurable business value.
Cybersecurity, talent shortages shape resilience priorities
Cybersecurity and digital resilience have emerged as the leading areas of investment for strengthening business preparedness, with 49% of Indian CEOs increasing spending in these areas amid an evolving risk landscape.
Workforce challenges remain another key concern. Attracting and retaining talent was identified as the biggest workforce challenge by 54% of CEOs, followed by skills gaps at 53% and the need to upskill employees for AI at 51%.
Despite these challenges, hiring plans remain strong. About 92% of CEOs in India expect to increase headcount, while 69% anticipate annual earnings growth of more than 2.5% over the next three years.
The findings point to continued corporate confidence, alongside a growing recognition that workforce readiness and digital security will be critical to sustaining expansion.
Sustainability moves into core business strategy
Sustainability is becoming more deeply embedded in corporate decision-making, with 66% of CEOs in India reporting that they have integrated it into their core business strategy.
Meanwhile, 68% expressed confidence in achieving their net-zero ambitions by 2030, compared with 64% of CEOs globally.
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