Sports is a central pillar of India’s development agenda

Sports Minister Mansukh Mandaviya (ANI Photo) The Khelo India mission sets a clear and ambitious goal: India must become one of the top 10 sporting nations in the world by 2036 and break into the top five by 2047. By aligning these milestones with the Viksit Bharat vision and the centenary of independence, the mission elevates the sport beyond development and strives for medals in India.The 18% increase in spending on sports in the Union Budget for FY 2026-27 compared to Khelo India’s new 10-year mission reinforces this shift. It frames a future Olympic bid not as an isolated sporting aspiration, but as a statement of India’s economic confidence, institutional maturity and nation-building ambitions.Case in point: The recent shift in the pace of the budget, which saw the youth and sports ministry’s allocation rise by 18% to Rs 4,479.88 crore for 2026-27 (from a revised Rs 3,346.54 crore in 2025-26), was one of the steepest year-on-year jumps in the ministry’s history.At a time when unemployment is increasingly a topic of discussion across the country’s public and private sectors, this government’s inflated thought bubble around the development of the sports sector in the coming decade certainly carries a greater connotation. Investing in sport simultaneously addresses youth engagement, job creation, health and fitness, while nurturing a new sector of the economy.Deloitte-Google’s ‘Think Sports’ report predicts that India’s sports market will reach $130 billion by 2030 and grow at a CAGR of 14% – almost twice India’s GDP growth rate. The same report projects 10.5 million jobs and $21 billion in indirect tax revenue by 2030.Out of the above budget allocation, the Sports Authority of India will receive Rs 917.38 crore, the National Sports Federation (NSF) Rs 425 crore and Khelo India itself Rs 924.35 crore – split into training centres, coaching, sports science and grassroots competitions (Khel Mahakumbhs).As far as cricket is concerned, the sport has broken all its past barriers in the last five years, bringing in nearly Rs 4,600 crore to the table with the launch of the Women’s Premier League (WPL) – the first T20 league for women that stood on the pillars of gender equality and equal pay.The IPL, through the sale of media rights – where internet rights exceeded the value of traditional TV rights to create a record revenue cycle – underlined the larger idea of ​​Digital Bharat.However, cricket aside, it is the non-cricket space where the tide is really turning, albeit gradually.While dedicated sports-only Private Equity data – particularly outside of cricket – remains weak and fragmented, India’s broader private equity and venture capital activity remains deep, giving sports-adjacent sectors (tech, infrastructure, media, D2C sportswear, apparel) large domestic capital to draw upon.Privately-run sports leagues such as kabaddi, football, volleyball, table tennis and hockey are building independent sponsorship and merchandise streams, reducing – albeit marginally – cricket’s near-total share of commercial revenue, underscoring future potential.Sustained double-digit growth is coming together quickly. With the sports economy projected to grow at 13-14% per annum – comfortably ahead of nominal GDP growth – the sector is steadily becoming a more significant contributor to the Indian economy. India already exports 60% of the sporting goods it produces, with the sector directly employing nearly half a million people.Any flip sides to the narrative? The northern sectors alone through Jalandhar (Punjab) and Meerut (UP) account for 75 to 80% of the national production. And while it represents the story idea of ​​a cluster economy, it’s also a risk of concentration worth flagging to make room for the opportunity to diversify.Technology and artificial intelligence represent another big opportunity. This space is projected to cross the $1 billion Indian market by 2030 at a 19% CAGR if the DeloitteGoogle report includes platforms for fan engagement, performance analytics and broadcast automation.The country’s existing strengths in software and analytics are already a shot in the arm for exporting sports technology services, a practice the cricket industry has already started adopting. Further, the government’s broader AI mission here brings in a five-year billion-dollar (roughly Rs. 10,300 crore) outlay that can push newer initiatives.Last but not least is the focus on modern sports infrastructure. The growing need to promote the sport across the length and breadth of the country for various reasons will only accelerate the growth of infrastructure.The 2030 Commonwealth Games could do much more for Ahmedabad than what the 1982 Asiad and the 2010 Commonwealth Games did for Delhi in terms of infrastructural growth. In Mumbai, the Maharashtra government is clearly calling for more stadiums on the outskirts of the city. Status of Odisha’s remarkable progress in sports and sports infrastructure over the last decade.The alarming rate at which private investors are eyeing the growth of sports infrastructure for business opportunities across the country could all be potential catalysts for a broader rethink.India’s sports economy is a churning ocean at this point. It’s time to adjust the sails and move forward.