India sets new records in the digital economy: Rajeev Chandrasekhar at the launch of Capital Dialogue
NEW DELHI: Gone are the days when people had to wait days or months to receive letters, money or messages. Today, all over the world, information is just a click away. It was a pre-pandemic concept, but the post-pandemic era has seen a massive global economic shift towards digital technology. The first momentous dialogue presented by the Sunday Guardian Foundation in association with The Sunday Guardian newspaper and the NewsX channel, was launched with an insightful discussion on the journey of India’s digital economy by the Union Minister of State for Electronics and Information Technology and the Union Minister of State for Skills. Development and entrepreneurship, Rajeev Chandrasekhar. Capital Dialogue will take place once a month.
In an insightful and interactive session with Prof. MD Nalapat and Priya Sahgal, the Minister shared that India has played a leading role in today’s digital economy. With advancements in technology, India is not far off from great success in digital expansion. Acceleration in the field of digital economy over the past two and a half years has made India a significant player. To reach a minimum of 20% of total GDP by 2025-2026, Prime Minister Narendra Modi has set a target for our digital economy, which currently represents 6% to 8% of the overall economy. Along with government incentives and programs, the drive and dedication of young entrepreneurs is key to fostering a robust digital economy.
Highlighting India’s journey towards digital growth, the Minister said, “In 2014, the total electronics production in India was Rs 1 lakh crores, and by 2025-2026 we will reach Rs 26 lakh crores, this which refers to 26 times the growth of the space of a decade. Furthermore, 66% of all FDI in electronics came in the last 3 years. After 2018, the flow of investments in the manufacturing sector began. From 2014 to 2018, we established a brand in the ecosystem, slowly rebuilding the ecosystem, and signaling to the world that we have the capabilities and credentials to build an electronic ecosystem.
Successful first-generation entrepreneurs and investors have a new sense of self-confidence. Moreover, the launch of 5G in India marked India’s digital transformation significantly.
“At the time of the 2G, 3G or 4G network, as an entrepreneur, I saw that each element of the network was imported, including the screw or the screwdriver, which was imported from a French or European company; but in 5G, India says Indian products, designs and IP, in future, wireless technology is home made. This is an achievement for Indian technology,” he said.
There has been a huge shift between pre-Covid and post-Covid perceptions of India. India will soon have a semiconductor ecosystem, but it may take some time due to integrated design, manufacturing, packaging and verification. With a significant incentive of 76,000 crore rupees (10 billion US dollars), India is expected to have a semiconductor factory.
Speaking on the issue of unemployment, the Minister said: “From 2017 to 2020 (pre-Covid), unemployment steadily went down to 5%. During the pandemic, there has been a disruption in the economy and the workforce. The entire global segment has been deeply impacted by the pandemic due to travel restrictions. The hotel sector and services related to the hotel industry, a huge job creator, are now bearing permanent scars due to Covid. These figures are entered in the unemployment sector. Some countries have experienced a post-Covid economic recovery, but this recovery is not the same as before the disaster. Some regions grew faster and others did not. These issues cannot be resolved quickly, but sectors, such as hospitality, are slowly recovering. Last year, nearly 10 lakh net new jobs were created in the tech sector, where 54% of the workforce was female due to new emerging opportunities. The Periodic Labor Force Survey denies self-employment and entrepreneurship which is currently on the rise. Compared to countries like China, the United States or the United Kingdom, India is sustainably doing well in the economic sector.
The skills ecology has also been improved and in the coming days the focus will be on local economies to generate employment opportunities. The Minister pointed out that there will be specific skills development plans for each area, based on the local opportunities and demands of the districts, such as crafts, agriculture, non-agriculture and migration opportunities in the within the area. nation and abroad.
The core of Atmanirbharta is that every country aspires to be a leader in the world by virtue of its resources. Atmanirbharta’s expansion into electronic and digital industries was envisioned by Prime Minister Narendra Modi in 2014 and as a result, the Indian economy was able to weather the global financial crisis with relative ease. In terms of incentives and protection of semiconductor protection rights, India will play an important role in the global semiconductor value chains in the future. As scale increases, our focus will be on driving value addition from India. Purchases of locally manufactured components, semiconductors, local manufacturing and other activities are all indications of added value.