AI in Healthcare to Add $30B to India’s GDP by 2025

Artificial Intelligence (AI) in healthcare is expected to contribute $30 billion to India’s GDP by 2025, transforming diagnostics, treatment accessibility, and patient outcomes, according to a report by Deloitte. This surge is driven by government-backed initiatives like the IndiaAI Mission and the Digital Personal Data Protection Act, 2023, which are laying the foundation for responsible AI adoption and improved data security in healthcare.

AI Adoption in Healthcare Surges

The report, titled “Digital Healthcare—Top 10 Myths Debunked Digital Health & AI”, reveals that AI adoption in healthcare has surpassed 40%, outpacing industries like FMCG (30%) and manufacturing (25%). This growth is fueled by the rapid digitalization of India’s healthcare ecosystem, which is increasingly leveraging AI-powered diagnostics, MedTech innovations, and digital health records to enhance efficiency and accessibility.

According to Joydeep Ghosh, Life Sciences and Health Care Industry Leader at Deloitte India, India’s surgical consumables and disposables exports reached $1.6 billion in FY 2022-23, showcasing the nation’s growing global presence in MedTech and healthcare innovation.

Challenges Hindering AI Growth in Healthcare

Despite the promising outlook, AI adoption in medical field lags behind the banking and financial sectors due to several barriers:

  • Data Security Concerns: Regulatory fragmentation and privacy issues slow down widespread AI integration.
  • Limited Digital Infrastructure in Rural Areas: The lack of advanced facilities restricts AI deployment in remote regions.
  • Shortage of AI-Trained Professionals: The workforce requires upskilling to effectively integrate AI into clinical workflows.

While India has become a net exporter of surgical consumables, it remains heavily reliant on imports for high-tech medical equipment, highlighting the need for stronger domestic manufacturing capabilities.

Also read: Google Unveils AI Co-Scientist for Researchers

A Path to AI-Driven Leadership

To unlock AI’s full potential, India must prioritize strategic investments in training, infrastructure, and policy reforms. The integration of AI can revolutionize patient care, making treatments more accurate, accessible, and cost-effective.

With continued government support and private sector innovation, India has the opportunity to emerge as a global leader in AI-powered healthcare, driving both economic growth and improved health outcomes for millions.

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