India to become global hub for AI use, LLMs: Paytm CEO Vijay Shekhar Sharma

India AI Impact Summit 2026: Vijay Shekhar Sharma said India will lead the global AI race by building many LLMs, using AI to boost businesses and expanding credit access to drive financial inclusion

Vijay Shekhar Sharma, Chief Executive Officer at Paytm, on Friday said India’s young population and widespread smartphone access will play a central role in driving the country’s artificial intelligence (AI) growth.

 

Speaking at the India AI Impact Summit 2026, Sharma said, “The capability of our youth will aid to the propagation of AI.”

 

He further added that India will emerge not only as a major user of AI but also as a key developer of advanced systems. “India will not only be the use case capital of the world, but will also be the capital of LLMs,” he said.

 

The country will create more large language models tailored to different usage segments and real-world needs, Sharma said. “India will not only embrace AI, but will lead from the front and show its true potential to the world,” he said. “Instead of viewing AI as a challenge, we will see it as an opportunity.”

 

From personal use to business transformation

 

Sharma said AI adoption is rapidly expanding beyond individual applications. “The more you use AI, the more addictive it becomes,” he said.

 

He noted that AI is already widely accessible through smartphones. “Everyone who uses a smartphone can now access the power of AI. The capabilities we harness over time will not be limited to chat or photo editing; they will increasingly extend to industry as well.”

 

According to him, the shift from personal use to enterprise adoption is already underway. “Until 2025, AI was largely an individual, experiential play. But 2026 begins with a commitment that AI will bring stronger capabilities to businesses,” he said.   

 

AI and financial inclusion

 

Sharma also emphasised AI’s role in expanding credit access and strengthening financial systems. “I fundamentally believe access to credit creates wealth."

 

He noted that credit decisions require significant insights and risk assessment, which AI can enhance. “Many rules and regulations are helping expand the reach of credit, but with the capabilities of AI, we can address corner cases more effectively so that people can become more financially inclusive.”

 

Smartphones, he said, earlier helped connect people to the financial system, and AI will now enable institutions to serve those customers better.   

 

Focus on sector-specific AI

 

Sharma said India should prioritise practical AI applications rather than focusing only on foundational models.

 

“The fight is not about just the foundation model. Fight it about AI that works for a sector or a segment, and solves a problem of an agent,” he said.

 

Sharma concluded by noting that AI adoption will create both opportunities and challenges, but the change is inevitable. “Some of us will embrace it as a powerful new capability that allows us to deliver services and possibilities beyond what we imagined. Others may feel threatened by what these machines can do. But such change is always constant in the world,” he said.