There is an interesting interview of Rajesh Aggarwal, the Chief Executive Office of NIXI about the introduction of IDNs in India:
ISOC India Chennai Chapter: IDNs and India: A Conversation with Rajesh Aggarwal of NIXI.
Unfortunately, they don't touch on when India will actually allow IDNs and from my recent contact with NIXI, they don't have any imminent plans.
What does having IDNs mean to you?
More than a billion Indians do not understand English. We are going for Indic language operating systems, applications and web content. Having URLs also in the Indian language will be a good step to include for all of these people.
ISOC India Chennai Chapter: IDNs and India: A Conversation with Rajesh Aggarwal of NIXI.
Unfortunately, they don't touch on when India will actually allow IDNs and from my recent contact with NIXI, they don't have any imminent plans.