The Maharashtra government has signed Memorandums of Understanding (MoUs) worth over $300 billion to build data centres in the state. This move will take its overall data centre capacity to 5.7 gigawatts (GW) by 2031, Chief Minister Devendra Fadnavis said.

The announcement, made at the Indo-American Chamber of Commerce (IACC) National Convention 2026 in Mumbai, underscores the state’s ambition to become India’s primary hub for AI infrastructure, cloud, cybersecurity and trusted digital ecosystems.

Mumbai and Navi Mumbai as India’s digital backbone

CM Fadnavis said Mumbai and Navi Mumbai have emerged as “critical nodes in India’s digital infrastructure,” with Maharashtra already hosting 65 per cent of the country’s data centre capacity.

“Mumbai and Navi Mumbai are already emerging as important nodes in India’s digital infrastructure. Maharashtra currently dominates the DC space, hosting India’s 65 per cent capacity and has MoUs of over $300 billion to take our overall DC capacity to 5.7 gigawatts by 2031,” he said.

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The scale of the pipeline—$300 billion in MoUs—signals a multi-year investment wave aimed at meeting surging demand from hyperscalers, AI workloads, enterprise cloud and digital public infrastructure. By targeting 5.7 GW by 2031, the state is effectively planning to multiply its current footprint several times over, positioning Maharashtra as the default destination for large-scale, power-intensive digital infrastructure.

A trusted digital ecosystem: AI, cloud, cybersecurity and human capital

Fadnavis framed the data centre push as part of a broader vision, “Our ambition is to build a trusted digital ecosystem: AI infrastructure, cloud, cybersecurity, data centers, digital public infrastructure and responsible AI, and the human capital required to operate all of it,” he said at the IACC convention.

The emphasis on “responsible AI” and human capital reflects the state’s intent to pair physical infrastructure with the skills, governance and security frameworks needed to run next-generation workloads. He also highlighted Maharashtra’s demographic advantage, noting that around 65 per cent of its population is under 27 years of age.

“India is the most youthful nation on this planet, and Maharashtra is the manifestation of that youthfulness,” Fadnavis said, linking the state’s young workforce to its ability to staff and scale data centres, AI operations and advanced manufacturing.

$300 billion MoUs and the 5.7 GW by 2031 target

The $300 billion figure represents committed interest via MoUs for building data centres across the state, not just in Mumbai and Navi Mumbai but potentially in emerging nodes as well. While MoUs are non-binding, their sheer size indicates strong investor confidence and a pipeline of projects that, if executed, will drive the state’s capacity to 5.7 GW by 2031.

Industry estimates put India’s installed data centre capacity at around 1.5 GW in 2025, with projections of about 2 GW by end-2026; Maharashtra’s 5.7 GW target by 2031 would therefore account for a dominant share of national capacity. The state has also signaled a sustainability angle, with Fadnavis noting a commitment to providing 100 per cent green power to data centres by 2028.

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Maharashtra’s economic heft: $660 billion economy growing at 10.2% CAGR

CM used the platform to also underline Maharashtra’s economic scale, describing it as a $660 billion economy that has grown at about 10.2 percent CAGR over the last seven years. “If Maharashtra was a country, it would probably be in the top 20 countries in the world by its sheer economic prowess,” he said, adding that the state’s economy effectively ranks around 20th globally.

He tied this to India’s rise as the fourth-largest economy under Prime Minister Narendra Modi, saying Maharashtra has played a crucial role in that achievement. “I believe that if our current growth trajectory continues, we will surpass the economies of both Singapore and the UAE within the next two years,” Fadnavis added, projecting rapid convergence with advanced, compact economies.

US partnership: Technology, education, data centres and semiconductors

The IACC National Convention 2026 was attended by US Ambassador to India Sergio Gor, who discussed investment opportunities for American firms in India. Fadnavis said he held a meeting with Gor to explore collaboration in sectors where the US excels. “We discussed potential areas for collaboration within our strategic alliance—specifically sectors where America excels, such as technology, education, universities, data centers, and semiconductors,” Fadnavis said.

He pitched a joint approach to global supply chains, “This is where India and United States can work together to build trusted global supply chains not merely made in India but increasingly designed together, developed together, manufactured together and taken to the world together,” he said.

Data centres are part of a larger technology and manufacturing ecosystem that includes semiconductors, electronic components, precision engineering and specialised manufacturing.

Jobs of tomorrow: AI, robotics, advanced manufacturing and beyond

The state government stressed that the nature of work is shifting. “The jobs of tomorrow will be drastically different from the ‘jobs of yesterday’. They will be in AI, robotics, advanced manufacturing, cybersecurity, semiconductors, healthcare technology, design, creative technology, research and entirely new industries,” he said.

The data centre build-out, therefore, is not just about racks and power; it is about creating a foundation for high-value employment in AI operations, cloud services, cybersecurity and related R&D.

He also highlighted Maharashtra’s existing strengths—industrial base, engineering talent, ports, logistics, financial ecosystem and a large domestic market—as enablers for manufacturing and technology-led growth.

On infrastructure, Fadnavis said the Pune Metro line connecting Shivajinagar to Hinjewadi is nearing completion, with testing underway and inauguration planned once testing concludes. “That is why I extended an advance invitation to the Prime Minister, and I am very hopeful that he will attend,” he said, referring to PM Modi.

On regulatory enforcement, he praised the Maharashtra Food and Drugs Administration (FDA) for strict action on food adulteration. “First and foremost, food adulteration or any violation of food safety standards endangers people’s lives and well-being. Strict action was necessary, and that is exactly what is happening,” Fadnavis said, adding that this course of action will continue.