India has emerged as the fastest-growing major economy for investment in intangible assets, according to the latest World Intangible Investment Highlights 2026 report by the World Intellectual Property Organization (WIPO) and Luiss Business School. The country recorded 7.9% year-on-year growth in intangible investment between 2022 and 2023, the highest among the 15 largest economies assessed in the wider study of 29 economies. Japan ranked second with 4.8% growth, followed by the Philippines at 4.6% and the United States at 4.4%. The report notes that intangible investments proved more resilient than tangible ones in the face of high interest rates, trade tensions and economic slowdown seen in recent years, with intangible investments growing by 5.5% annually in real terms between 2020 and 2025, compared to 3.2% for tangible investments. In absolute terms, India's intangible investment reached $78 billion in 2023, exceeding several European economies including Denmark, the Czech Republic and Finland.
The AI boom has significantly contributed to intangible asset investments reaching a record high of over $10 trillion in 2025 across the 29 economies studied, which account for 57% of global GDP. According to WIPO, artificial intelligence is playing a major role in the transformation, with its lasting impact stemming primarily from investments in software, data, research and development, and corporate reorganisation. While AI initially drives physical investments in data centres, semiconductors and energy infrastructure, the lasting impact is through software, data, research and development investments. Investment in software and databases recorded the highest aggregate real growth rate across all intangible asset categories, expanding at an average annual rate of 7.3% between 2013 and 2023, ahead of organisational capital at 4.9% and brands at 4.4%. The report indicates that artificial intelligence is expected to reinforce this trend by increasing investment in software, data, organisational capital and research, with its longer-term economic impact increasingly depending on investment in intangible assets that enable firms to reorganize processes, develop proprietary data and strengthen innovation capabilities.
One of the report's standout findings is India's heavy focus on software and databases, with nearly 45% of India's total intangible investment in 2023 going into software and databases, the highest share among all countries studied. According to WIPO, this concentration is attributed to India's globally competitive information technology and software services industry. The report also found that organisational capital accounted for 21.8% of India's intangible investment, R&D represented 12.7%, brands contributed 9.3%, and design made up around 11%. Software and databases were identified as India's fastest-growing category of intangible assets, expanding at an average annual rate of 8.2% between 2013 and 2023. The report highlights the economic importance of brands, with investments across the 29 economies reaching $1.4 trillion in 2025, led by the US at $566 billion, Britain at $137 billion, and Japan at $112 billion. India also ranked among the faster-growing economies in brand investment, with brand investment expanding at a CAGR of 7.2% between 2013 and 2023, placing India behind Luxembourg, Lithuania and Denmark but ahead of several advanced economies.
Beyond growth rates, India has steadily increased the role of intangible assets within its economy. According to the report, India's intangible investment reached 10% of the formal sector gross domestic product (GDP) in 2023, up from 9.7% in 2011. This places India close to several European economies, including Latvia and Portugal, even though the country continues to spend heavily on physical infrastructure. The report noted that India's tangible investment remains much higher at 19.3% of GDP because the country continues to build roads, railways, manufacturing facilities, and other physical infrastructure alongside expanding its digital and knowledge economy. Since 2008, intangible investment has grown by 3.5% annually in real terms, significantly outpacing tangible investments which saw annual growth of just 0.98% over the same period, demonstrating a durable structural shift in investment composition. Additionally, India's gross capital formation rose from 32% of GDP in 2021 to 33% in 2023, indicating the country's continued focus on both tangible and intangible asset development.
