Davos 2026: Development Politics Comes of Age in India

In the crisp Alpine air of Davos, Switzerland, the World Economic Forum's annual summit 2026 (January 19-23) unfolded not merely as a global economic conclave but as a vivid tableau of India's evolving political landscape. India's largest-ever Davos delegation—featuring four Union ministers, the National Security Advisor, chief/senior ministers from at least ten states, and over 100 CEOs—descended upon the Swiss town, transforming the India Pavilion into a bustling arena of bipartisan pitches and billion-dollar MoUs. 

This spectacle, far from being incidental, confirms and amplifies a thesis I explored just before the summit: development is no longer a peripheral agenda in Indian politics but a structural competitor to identity-based mobilization. As mass mobility reshapes voter horizons and comparative governance becomes the norm, states are compelled to court private capital with unprecedented zeal. Even those governed by traditionally socialist parties—Kerala, Karnataka, and Jharkhand—joined the fray, a development unthinkable a decade ago. Drawing from the summit's outcomes, I reflect in this blogpost how these trends validate my pre-Davos optimism, while offering fresh insights into the implications for India's federalism and democratic future.

The Pre-Davos Prognosis: Mobility, Comparison, and the Eclipse of Identity-First Politics

As I argued in my January18 blogpost "Development as Political Strategy: Why Davos Matters for Indian Politics More Than We Think", the surge in state-level participation at global forums like Davos signals a quiet but consequential transformation. Infrastructure expansion—highways, railways, airports, and digital connectivity—has unleashed three kinds of mobility: inter-state labor flows, rural-urban transitions, and inter-regional socio-economic migrations. 

This has bred a "comparing population", where voters no longer evaluate governance in isolation but against other states' or regions' performance. This has, in turn, forced employment and entrepreneurship as the new currency of political legitimacy; and have fostered dignity and aspiration in ways that erode rigid identity blocs, such as caste and ethnicity. Bihar, with its history of caste-centric mandates, served as my stress test: if development can cut across identities there, it could anywhere.

Crucially, I posited that this shift reconstructs rather than abolishes identity, channeling it toward state-based or civic belongingness. Political parties, regardless of ideology, must compete on delivery—investment enablement, job creation, and policy stability—or risk obsolescence. The joining of states like Assam, Jharkhand, and Madhya Pradesh in the delegation was a litmus test: would they pivot from welfare-centric models to embrace private sector-led growth?

A Sweep of Indian States' Announcements from Davos 

The following is a sweep of announcements from Davos 2026 by the participating states (powered by Grok):-

Andhra Pradesh (Led by CM Chandrababu Naidu)

Andhra Pradesh pitched its "sleeping giant" awakening narrative, focusing on AI, clean energy, and infrastructure, with 36 sessions and diaspora outreach. 

Brookfield Asset Management: Advanced a $12 billion clean infrastructure partnership (initially from CII summit), emphasizing sustainability.

RMZ Group: $10 billion for digital, mixed-use, and industrial infrastructure.

Google and IBM: Accelerated AI Data Centre in Visakhapatnam and Quantum Computing Centre in Amaravati; skilling 1 million youth in AI.

UAE and Israel: Food processing cluster and collaborations in AI, space tech, drones, and tourism; proposal for an Israel industrial park.

NRT Fund: ₹50-crore fund for Non-Resident Telugu entrepreneurs.

ArcelorMittal Nippon Steel: Foundation for a plant in Anakapalli post-February 15.

Total projected FDI attraction: 25% of India's share, with emphasis on policy stability and "bottom-up" growth.

Maharashtra (Led by CM Devendra Fadnavis)

Maharashtra secured the largest haul, signing 19 MoUs worth ₹14.5 lakh crore ($163 billion) on Day 1, projecting 15 lakh+ jobs and a $5-trillion economy by 2047. At the end of the four days Maharashtra garnered ₹ 30 lakh crore worth of investment proposals.

Tata Group: $11 billion for "Innovation City" near Navi Mumbai Airport (AI, semiconductors, GCCs; ~9.6 lakh jobs).

Adani Group: ₹6 lakh crore over 10 years for data centres, renewables, semiconductors, urban infrastructure.

MMRDA: 10 MoUs worth $96 billion (₹8.73 lakh crore) for "Mumbai 3.0" (Edu/Medi/Sports Cities).

Shree Naman Group/Tillman Global: 1.5 GW data park (1,500 acres; 1 lakh jobs).

Milky Mist: ₹1,130 crore dairy processing facility.

BFN Forgings: ₹565 crore steel plant (847 jobs).

Rural Enhancers Group/Nutrifresh: ₹2,500 crore smart agriculture MoU.

Others: Engagements with Brugg Group (elevated roads), Weisshorn Realty (Aerocity One), Arup Group (urban planning), Swiss-Indian Chamber (sustainability ties), Antora Energy, Coca-Cola (expansions).

Highlights: 52% renewables target, Asia's largest solar network for farmers (16,000 MW).

Assam (Led by CM Himanta Biswa Sarma)

Assam emphasized its 13% growth (fastest in India per RBI), Act East Policy, hydrocarbons and green energy, aiming to secure ₹1 lakh crore in investment MoUs, in its first WEF appearance. While there was no concrete investment announcement during the four days, Assam did get investment commitments from the Adani Group in airport expansion, MRO, and solar power sectors (these announcements were part of Adani Group's massive ₹60 lakh crore investment commitments across Maharashtra, Madhya Pradesh, Jharkhand, and Assam), and from INOXGFL in green energy sector (which was a part of its ₹17,000 crore multi-state investment commitments). CM Sarma held dozens of exploratory meetings with senior representatives of foreign companies, governments, and organisations. 

Telangana (Led by CM A. Revanth Reddy)

Telangana promoted "TelanganaRising2047" ($3 trillion by 2047), securing commitments in AI, net-zero cities, and energy; under its CURE/PURE/RARE framework.

Rashmi Group: ₹12,500 crore for industrial expansion.

UAE Partnership: Bharat Future City (30,000-acre net-zero smart city).

Sargad (US-based): ₹1,000 crore over 3-5 years for aviation MRO facility.

Schneider Electric: ₹623 crore to expand facilities in Gagillapur and Shamshabad (electrical safety products); energy transition collaborations.

Israel and Google: AI pilots in agri-tech, health, climate, cybersecurity.

WEF Partnership: Intent for "TelanganaRising2047" collaboration; Small Modular Reactor EOI (EUR 600M/₹6,000 crore).

Unilever: Exploring GCC in Hyderabad.

Madhya Pradesh (Led by CM Mohan Yadav)

In its maiden Davos visit, MP positioned as a "strategic investment hub," focusing on renewables, EVs, tourism, pharma, textiles, IT, agri-processing, logistics. It highlighted it GSDP doubling target to ₹30 lakh crore in 5 years.

Adani Group: Energy, defense (Morena power distribution).

DP World (UAE): Logistics hub.

Sanofi (France): Centre of Excellence in Bhopal.

WEF-MPIDC: Agri-tech, food processing, climate adaptation.

PepsiCo: Expansion in food business, leveraging agriculture.

NVIDIA: AI for social benefits, sovereign AI, workforce linkages.

Manchester United: Sports development, grassroots football, tourism.

Maldives: Tourism, zoo development, medical tourism, fisheries, education.

Proposed MoUs/LoAs: Across automobiles, renewables, pharma, etc.; investor-friendly incentives.

Existing MoUs (up to ₹9 lakh crore) on ground for green transition.

Uttar Pradesh (Represented by Finance Minister Suresh Khanna)

UP highlighted its shift from "BIMARU" to progressive, with exports up from ₹84,000 crore to ₹1.86 lakh crore, targeting $1 trillion economy. Secured over ₹3 lakh crore in deals across renewables, AI, defence, etc.

AM Green/AM Group: ₹2.5 lakh crore for 1 GW RE park and data centre. 

SAEL Industries: ₹8,000 crore for 500 MW waste-to-energy.

INOXGFL: ₹8,000-10,000 crore solar projects (part of multi-state ₹17,000 crore total).

Sify Technologies: ₹1,600 crore AI-ready data center.

Yeoman Marine: ₹150 crore defense manufacturing (UP Defence Corridor).

Essar Group: ₹25,000 crore in power, energy, logistics, data centers.

Lulu Group: New mall in Noida; expansions in food processing.

The UP government highlighted its 96 lakh MSMEs and incentives for 34 sectors.

Karnataka (Represented by Deputy CM DK Shivakumar and Industries Minister MB Patil)

Karnataka secured tens of thousands of crore rupees of investment commitments. It  emphasized Bengaluru as an AI/data center hub (25 lakh engineers), as well as renewables and manufacturing potential. It also highlighted that it has realized ₹4.71 lakh crore of investment commitments from prior meets.

RP-Sanjiv Goenka Group: Part of ₹13,070 crore in renewables, data centers, aerospace.

NFW Earth: ₹1,600–1,800 crore for plant-based materials (leather/textiles).

Nokia: Interest in GCC and R&D centers.

ReNew Power, Xylem, Octopus Energy, Mistral AI: Pilots in renewables, water infra, power modernization, GCC/R&D.

Coca-Cola: ₹25,760 crore food processing (India-wide, with Karnataka focus).

Swiss Chambers: MoU for collaborations; 60+ global engagements.

Industries minister MB Patil held several meetings with leaders of global companies. 

Jharkhand (Led by CM Hemant Soren)

Jharkhand targeted sustainable development by 2050, emphasizing minerals, tourism, green energy, and energy transition model.

Its key investment deal was an ₹11,100 crore green steel plant proposal (low-emission tech from Netherlands/Germany) from Tata Steel.

It highlighted its critical minerals and sustainable development potential.

Gujarat (Represented by Deputy CM Harsh Sanghavi)

Gujarat built on the success of Vibrant Gujarat 2024 summit, focusing on AI, defence, and next-generation investments. It had high-level engagements showcasing its industrial vibrancy and growth.

Kerala

Kerala secured ₹1.17 lakh crore ($14 billion) worth of commitments, in bulk, focusing on diverse sectors.

According to Grok, Tamil Nadu also participated in the summit, but there was no major announcement by the TN government on X.

According to my calculations, total investment commitments exceeded ₹40 lakh crore, distributed mainly in Maharashtra, Andhra Pradesh, Telangana, and Uttar Pradesh. Total investment intentions, I surmise, would be even more. 

The Federalised Innovation Race and the Double-Edged Sword

Reflecting on these developments, a unique insight emerges: Davos 2026 heralds the dawn of a "federalised innovation race" in India — where states function as mini-laboratories for growth experiments, potentially accelerating national progress in ways centralized models cannot. This decentralized dynamism—fueled by comparative pressures—could foster tailored solutions, like Maharashtra's urban tech corridors or Telangana's net-zero smart cities, creating a virtuous cycle of talent retention and economic multipliers. 

Additionally, in this AI-driven era, where energy and compute become bottlenecks, states' converging focus on renewables and tech infrastructure positions India as a sovereign player. This reduces reliance on foreign clouds and boosts "Make in India" AI hardware pivot.

Yet, this race carries risks that merit scrutiny. MoU euphoria often masks execution gaps—Karnataka's >50% realization rate is a cautionary benchmark. Without robust monitoring frameworks, such as federal dashboards for tracking FDI inflows and job creation, the gap between pledges and outcomes could breed voter cynicism, reinforcing inequalities between mobile and less-mobile demographic cohorts. 

Moreover, while investment and development reconstruct identities, they risk entrenching new divides: urban vs. rural, or skilled vs. unskilled. Policymakers should integrate equity metrics—e.g., mandating women and LGBT quotas in entrepreneurship initiatives, or tying large investment MoUs to MSMEs/SHGs—to ensure broad-based equality and dignity.

Conclusion

As mobility empowers comparative judgement, political parties must internalize investment delivery as non-negotiable. Davos 2026 wasn't just about investment MoUs; it was a referendum on development as politics' new north star. This positive dynamism, if sustained, could gradually make India a mature democracy as well as propel India toward its 2047 goals. As voters grow ever more discerning, the real 'summit' now lies ahead—in the state elections of 2026 and beyond.