Indian Economy News

India's digital economy set to overtake agriculture, manufacturing by 2030: Ministry of Electronics and Information Technology (MeitY)

  • IBEF
  • January 24, 2025

India’s digital economy is projected to grow at nearly twice the rate of the overall economy, contributing almost 20% of the national income by 2029-2030, according to a report by the Ministry of Electronics and Information Technology (MeitY). Released on January 22, 2023, the report, titled ‘Estimation and Measurement of India’s Digital Economy,’ is the first to quantify the impact of the country’s digital sector on national income and employment. It highlights the transformative potential of the digital economy, which is expected to surpass agriculture and manufacturing in less than six years. Growth is primarily anticipated from digital intermediaries and platforms and broader digitalisation across industries. 

In 2022-23, the digital economy contributed 11.74% of India’s national income, equivalent to Rs. 28,94,000 crore (US$ 334 billion) in Gross Value Added (GVA) and Rs. 31,64,000 crore (US$ 366.06 billion) in Gross Domestic Product (GDP). This share is projected to rise to 13.42% by 2024-25. Key contributors to this growth include sectors such as information and communication services, telecom, and electronics manufacturing, which account for 7.83% of the national GVA. Additionally, the digital economy employed 14.67 million people in 2022-23, representing 2.55% of India’s workforce. The report also noted that agriculture remains the largest employer, with 45.8% of the workforce, followed by manufacturing with 11.4%. 

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.

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