The Ministry of Electronics & IT (MeitY) stated that as the Indian economy undergoes rapid digital transformation over the past decade, it is crucial for policymakers and the private sector to measure and comprehend the impact of the digital economy on economic growth, job creation, and sustainable development.
The State of India’s Digital Economy Report 2024 highlights that India ranks as the third largest country globally in terms of overall economic digitalization and stands 12th among G20 nations regarding the digitalization levels of individual users.
India’s digital economy is projected to expand at nearly double the rate of the overall economy, potentially accounting for almost 20% of the national income by the fiscal year 2029-30. This indicates that within a span of less than six years, the digital economy’s contribution will surpass that of both agriculture and manufacturing sectors in the country.
In the near term, the most significant growth is anticipated to stem from digital intermediaries and platforms, with subsequent increases in digital diffusion and the digitalization of other economic sectors. Consequently, this trend is expected to reduce the proportion of ICT industries that enable digital capabilities within the broader digital economy.
