Digital Infrastructure Boosts India Towards $8 Trillion Economy by 2030
India is on the fast track to achieving a $1 trillion digital economy goal, with projections to grow into an $8 trillion economy by 2030, thanks to Digital Public Infrastructures (DPIs) like the Unified Payments Interface (UPI) and Aadhaar. A report by Nasscom, in collaboration with Arthur D. Little, highlights the pivotal role of DPIs in this acceleration, impacting around 1.3 billion citizens, or 97% of the population.
In 2022 alone, mature DPIs contributed $31.8 billion to the economy, accounting for 0.9% of the GDP. Aadhaar, through the reduction of Direct Benefits Transfer leakages, has generated an economic value of $15.2 billion. Meanwhile, UPI has revolutionized transactions across various sectors, adding $16.2 billion to the economy.
Debjani Ghosh, Nasscom President, remarked on the transformative effect of DPIs in India, emphasizing the country's leadership in digital innovation globally. These innovations have not only spurred economic growth but also significantly reduced carbon emissions and paper use, in line with UN SDG goals.
DPIs are gaining international attention, with over 30 countries considering adopting India's models for enhancing social and financial inclusion. The next decade presents an even greater opportunity for DPI expansion to reach the most remote populations, enhancing efficiency and promoting inclusion across the board.
The report urges government agencies to maintain momentum by providing policy support and regulatory clarity. It also calls on startups, SMEs, and corporates to leverage the digital infrastructure, explore new technologies, and anticipate future digital demands to sustain innovation and growth.
India's journey towards a digitally empowered economy is marked by the successful deployment and adoption of DPIs, setting a global benchmark in digital innovation and inclusion.
