India’s Strategic Route to ‘Viksit Bharat’ by 2047

In the next few days, India will take the biggest leap to become a developed nation - Viksit Bharat by 2047. The connection between the big change and digital change is further strengthened by the rapid growth in the IT and ITeS sectors. This sector has reengineered the economic space of India and has brought in new ways for the country.

It started in 2015 as an endeavor to build a digital infrastructure, internet connectivity, and digital literacy across the country.

It wants to convert government services into e-services, connect urban areas with rural areas through broadband, reduce the digital divide among citizens, and bring millions into the digital economy's fold.

Key projects under this initiative consist of: 

1. BharatNet: Connecting approximately 2.5 lakh and above gram panchayats with high-speed broadband.
2. Digital Locker: Enabling secure online documentation and sharing.
3. MyGov: Citizen engaging platform for participatory governance.
4. E-Hospital: Simplifying online registration and appointment services in government hospitals.

Such programs are not just aiding but are empowering millions. By democratizing access to technology, India ensures no one is left behind in this digital revolution.

India’s Strategic Route

IT and ITeS Sector: Driving Economic Growth

The Indian IT & ITeS Sectors are estimated to contribute immensly to the national GDP with an estimated revenue of $254 billion in FY 24. Positioning India as a desired destination for technology services.

This growth is a testimonial to India’s skilled labour, supportive government policies, and the sector’s resilience toward evolving trends like cloud computing, blockchain, and artificial intelligence. As per Delloite’s recent report, India is home to over 50% of Global Capability Centers (GCCs) which is approximately 1,600 GCCs. These centers are employing more than 1.5 million professionals reinforcing its status as a global innovation hub.

Government Policies: Enabling Ecosystem Expansion

The government’s active approach has been influential in nurturing the IT and ITeS sector. With initiatives as follows:

India BPO Promotion Scheme (IBPS): 

The IBPS scheme, seeks to impel the establishment of 48,300 seats in BPO/ITES operations across India. IBPS aims to distribute Rs.493 Crore among each state in proportion to each State’s population. This would help smaller cities in terms of infrastructure and manpower, leading to growth in IT/ITES.

Software Technology Park (STP) Scheme:

The STP Scheme is 100% export-oriented from development to export of computer software. It also includes the export of professional services using physical material or communication links. The unique feature of the STP scheme is the provision of single-point contact services for members, enabling export operations at a pace proportionate to international practices.

These schemes showcase a clear vision to distribute growth, ensuring the benefits of digital transformation reach evenly across the country.

Digital Transformation and Economic Development

The digital initiatives and the IT sector collaboration have far-reaching impacts on India’s economy:

• Employment Creation: The sector provides diverse opportunities, facilitating talent across engineering, management, and creative fields.
• Export Revenues: IT exports have become a root of India’s foreign exchange earnings, integrating global economic enhancement.
• Startup Network: Globally India is the third-largest start-up ecosystem, steered by innovation in education, Healthcare and finance technology. The upsurge in unicorns is proof of India’s ambition.

Challenges and Opportunities Ahead 

The challenges in rural infrastructure, digital literacy, and cybersecurity require consistent focus presenting opportunities for innovation and participation.

Key trends shaping India's future include: 

Artificial Intelligence and Machine Learning:

Artificial Intelligence is projected to contribute $1 trillion to the Indian economy by 2035. Representing an opportunity in the healthcare, agriculture, and manufacturing sectors for transformation.

Digital Public Infrastructure (DPI): 

Initiatives like UPI, Digilocker and Aadhaar have displayed the ability of DPI in terms of administrative and financial efficiency. Scaling of such models globally can position India as a leader in digital governance.

Green IT Practices:

Companies investing in energy-efficient data centers and green technologies with sustainability will be the main focus.

Global Collaborations: Strengthening India’s Position

India’s ambition of a digital India is supported by strategic global partnerships. The founding of research centers, technology parks, and joint ventures with multinational corporations emphasis

Authored By: Gagan Arora

Founder and President of Vertex Global Services