India's First AI SEZ to Rise in Nava Raipur with Rs 10 Bn Investment

30 May 2025 CW Team

The project will be undertaken by Indore-based RackBank Datacenters, a carbon-neutral data centre company, with an investment of Rs 10 billion. According to a commerce ministry order cited by the Chhattisgarh government, the SEZ will feature cutting-edge infrastructure to support AI research, development, and deployment.

Spanning six acres, the RackBank Data Center SEZ will include a 1.5 lakh square foot facility equipped with high-performance servers and systems designed to support AI technologies and extensive digital operations. The zone is being envisioned as a digital command centre for the nation, with plans to establish four high-density data centres offering a combined capacity of 80 megawatts—enough to sustain digital infrastructure across several Indian states.

The government noted that the SEZ would enjoy tax benefits and regulatory ease under the SEZ policy framework, thereby creating a conducive environment for both global and domestic enterprises to engage in advanced AI development and data-centric innovation.

The AI SEZ is anticipated to host operations of major global tech firms, including Google, OpenAI, Microsoft, and Meta. For the first time, India is poised not only to consume AI services developed abroad but also to emerge as a centre for their creation, hosting, and large-scale delivery.

Beyond its technological and economic implications, the project is also expected to have a profound social impact. It aims to offer young talent from remote districts like Kanker, Sukma, Bilaspur, and Dantewada the opportunity to relocate to Raipur and access world-class employment prospects—potentially curbing the need for migration to metros such as Bengaluru or seeking jobs overseas.

News source: Mint

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