86% of Indian CEOs Prioritize Emerging Technology Investments: EY Report Most CEOs are taking a long-term approach to transformation with a focus on customers and employees, despite evolving disruptive forces.

At a time when there is cautious optimism globally, 86 per cent of Indian CEOs recognize the pivotal role of emerging technologies, marking them as a key investment priority for the next 12 months, according to the latest EY-Parthenon CEO Outlook Survey: Global Confidence Index 2025, India Findings. Also, 90 per cent believe successful AI adoption and workforce upskilling will define industry leaders in the future.

Indian CEOs are more confident than their global counterpart on cost of doing business, revenue and competitive position, the report said. 90 per cent of Indian CEOs believe that investments in existing operations and new areas through joint ventures and mergers & acquisitions are critical for growth. Also, all of them are very optimistic that they can successfully reimagine their business model for the future through transformation.

"Organizations that adopt a transformative mindset can convert upheaval into prospects for growth, consistently adapting and evolving to confidently to shape their future with confidence. The EY survey reveals that the most confident CEOs prioritize enduring transformation strategies, focusing on strengthening relationships with customers and employees amid macroeconomic and technological shifts," said Rohan Sachdev, Consulting Leader, EY India.

The EY survey highlights that strategic vision and investment in people – including upskilling employees to keep pace with technological innovation – are considered essential levers for growth. 20 per cent of CEOs said improving customer engagement and retention is the first priority, followed by 18 per cent who said improving employee engagement and retention. 16 per cent said reducing costs and unlocking savings, and 14 per cent stated that enhancing product and process innovation can improve current offerings and create new products and services.

Anurag Gupta, Partner and National Leader, EY-Parthenon India said, "Adaptability is the key advantage for organizations in India today. Those who embrace transformation can turn disruption into opportunity, constantly learning, evolving, and confidently shaping their future."

Unlike their global counterparts, Indian business leaders are displaying strong optimism, with 90 per cent actively exploring strategic transactions in the coming year. Their focus primarily centres on M&A deals (both buy and sell/separate) and joint ventures to optimise operations, drive growth and expand market presence.

"Amidst the unprecedented uncertainties brought in by acceleration of AI / Digital adoption and global geopolitics, businesses that prioritize technology, business transformation and upskilling in their M&A strategies will emerge as winners. AI/Digital-Tech led transformation continues to shape corporate acquisitions, while defensive consolidation enhances operational resilience and cost efficiencies in a volatile economic landscape. With strong balance sheets and financing availability, the case for strategic M&A has never been more compelling in India," said Amit Khandelwal, Managing Partner, Strategy and Transactions, EY India.

Despite the optimism and plans for more deals, 96 per cent of the CEOs identify escalating geopolitical instability and uncertainty as their primary concern, highlighting the significant impact of global political dynamics on business operations and strategic planning, the survey revealed. CEOs who can effectively navigate these complexities and embrace a long-term transformational mindset are likely to emerge as the market leaders of tomorrow, turning potential threats into strategic advantages.