Digital Economy Grew 2.4x Faster
India's digital economy grew 2.4 times faster than the economy between 2014 and 2019 generating around 62.4 million jobs. the size of the digital economy has grown from $107.7 billion in 2014 to $222.5 billion in 2019
Newly digitizing sectors, including agriculture, education, energy, financial services, healthcare, logistics, and retail, as well as government services and labour markets, could each create $10 billion to $150 billion of incremental economic value in 2025 as digital applications in these sectors help raise output, save costs and time, reduce fraud, and improve matching of demand and supply
Digital Economy Growth Rate at 15.6%
- India’s core digital economy share in GVA increased from 5.4% in 2014 to 8.5% in 2019, with a digitally dependent economy estimated to be around 22% of GDP in 2019.
- In absolute US dollar terms, India’s digital economy exhibited a growth rate of 15.6% over the period 2014 to 2019, which was 2.4 times faster than the growth of the overall Indian economy.
- Digital output multiplier has increased over time from 1.35 in 2014 to 1.52 in 2019, highlighting the role of investments to drive growth.
- 62.4m workers were employed in the digitally dependent economy in 2019.
Digital Usage in India
It is expected that India would have the second largest universe of online shoppers by 2030, estimated at 500m to 600m.
The size of the e-commerce market is expected to grow to US $350 by 2030.
Young demography, increasing internet and smartphone penetration, and relatively better economic performance are some key drivers of this sector. With 830 Mn users, India is currently the 2nd largest internet market. In 2021, digital wallets were the leading payment method for e-commerce transactions with a share of 45.4%
Over CY20-30, Tier 2+ cities will contribute 88% of new online shoppers and $150 bn in cumulative incremental online retail GMV
AI in Agriculture
AI in agriculture would be worth $ 2.6 Bn and rise at a pace of 22.5 per cent Compound Annual Growth Rate (CAGR).
Digital Village: MeitY has initiated the ’Digital Village Pilot Project” in October, 2018. 700 Gram Panchayats (GPs)/Village with atleast one Gram Panchayat/Village per District per State/UT are being covered under the project. The digital services being offered are Digital Health Services, Education Service, Financial Services, Skill Development, Solar panel powered street lights including Government to Citizens Services (G2C), Business to Citizen (B2C) Services.
5.59 Trillion DBT in FY 2022
Transfer of assorted subsidies and sops to the beneficiaries through the direct benefit transfer (DBT) saw a flat 1% growth to 5.59 trillion in FY22 from the previous year, indicating a plateauing of coverage under most schemes. The DBT system has enabled the government to save significantly on its social-sector welfare expenditure through targeted deliveries. The government’s cumulative savings on expenditure, thanks to the DBT till FY21-end, was 2.23 trillion.
TOTAL DIRECT BENEFIT TRANSFER(FY 2022-23)- 5,45,393 Cr
TOTAL NO. OF TRANSACTIONS(FY 2022-23)- 513 Cr
ESTIMATED GAINS- 2,22,968 Cr
1230 million Aadhaar cards
India today is home to more than 75 crore smartphones
Over 80 crore internet users, 1210 million mobile phones and 560 million internet connections. Above all, it has among the lowest data tariffs in the world
Top 10 Startup Hubs in India
The value of electronics manufacturing in India has touched $75 billion in 2020-21 from $29 billion in 2014
India has more than 61,400 startups as of March 2022, making it the third-largest startup ecosystem after the US and China. With nearly 14,000 startups getting recognized during 2021-22, 555 districts of India had at least one new startup as per the Economic Survey 2022.
The number of tech start-ups in India has grown by 12-15% during the 2014-19 period. Today there are about 21,000 startups in India, out of which about 9,000 are technology startups. Several of these are unicorns, holding a cost of over a billion dollars.
India is one of the largest and fastest-growing markets for digital consumers.
Online labour
India forms 24 % of the online labor market share (as of 2017), generating employment openings for software developers, data entry operators, online sales, and creative professionals. E-commerce.
The level of poverty in India has been a drop from 22% in 2012 to 16% in 2019 even after the essential growth in population.
Digital Payments
eHospital/ Online Registration System (ORS): e-Hospital application is the Hospital Management Information System for internal workflows and processes of hospitals. Currently, 753 Hospitals have been on-boarded on e-Hospital and ORS has been adopted by 557 hospitals across the country with over 68 lakh appointments booked from ORS.
Unified Payment Interface (UPI) is the leading digital payment platform. It has onboarded 376 banks and has facilitated 730 crore transactions (by volume) worth Rs 11.9 lakh crore. A transformation is well and truly underway with the Unified Payments Interface (UPI) processing payments worth more than $ 1 trillion–that’s 1000,000,000,000 dollars–in FY22 and crossing a significant monthly milestone of 5 billion transactions in March 2022.
Unified Mobile Application for New-age Governance (UMANG) – for providing government services to citizen through mobile. More than 1668 e-Services and over 20,197 bill payment services are made available at UMANG.