Telangana invites UAE to partner in digital, innovation hub plan

Hyderabad: Telangana IT and Industries Minister Duddilla Sridhar Babu invited the United Arab Emirates (UAE) to partner in making the state a global digital and innovation hub. The proposal came during his meeting with the UAE Minister of State for Artificial Intelligence, Digital Economy and Remote Work Applications, Omar bin Sultan Al Olama, on Thursday.

Highlighting the state’s AI-driven “Telangana Data Exchange,” Sridhar Babu said it had already shown results in healthcare, education, agriculture and governance. He urged the UAE to collaborate in setting up an AI research and development centre in Hyderabad.

By July 2025, Telangana had become India’s fourth-largest UPI economy, recording transactions worth ₹1.26 lakh crore. The minister also pointed to opportunities in payments, blockchain and digital commerce through the state’s fintech sandbox. Hyderabad, he stressed, serves as a strong gateway for UAE digital economy firms entering India.

Telangana–UAE Future Skills Academy proposal

As part of the discussions, Sridhar Babu proposed a Telangana–UAE Future Skills Academy focused on gaming. He also sought UAE investment in deep-tech and AI startups through sovereign wealth funds and venture capital. Telangana, he added, was keen to jointly host an “AI and Startup Summit” with the UAE.

The minister further said UAE firms could explore investment in smart mobility, logistics, green energy, housing and e-governance under Telangana’s upcoming “Future City” project.

UAE invites Telangana to join the Star Gate project

UAE Minister Omar bin Sultan Al Olama praised Telangana’s efforts to build a global digital and innovation hub. He expressed interest in collaborating with the state in AI, digital economy, cloud computing, quantum computing, cybersecurity and gaming.

During the meeting, he briefed Sridhar Babu on the UAE’s ambitious AI-based “Star Gate” project, estimated at $100 billion, and invited Telangana to join as a key partner. He also assured Telangana’s participation in the upcoming FinTech Startups Summit in the UAE.