Mission 2047: A tech-driven India

At the world Economic Forum summit held in Davos earlier this year, we witnessed the euphoria around ‘this is India’s century’. Undoubtedly, this is a consequence of India’s favourable policy regime, economic and demographic fundamentals and the resilience demonstrated by the nation during Covid-19. As the fine print of Budget 2023-24 becomes clear, I feel confident about how we can address the challenges of contemporary India by unleashing the full potential of its people by leveraging technology.

The vision of a “tech-driven and knowledge-based economy with strong public finances”, and a commitment to sustainability, was amply evident in the Budget announcements. The steps unveiled to make India future-ready through skilling, green initiatives and the use of tech are welcome. While these building blocks will undoubtedly propel India towards its Amrit Kaal goals, the country will reap the outcomes of these measures not just at 100 years of independence, but for many decades to come. It is, in fact, an opportunity to accelerate India’s development using tech that is most exciting.

Why is this important? Right from education and skilling and creating jobs to research for interdisciplinary business applications, ease of doing business and addressing social challenges, the building blocks of the new-age ecosystem are rooted in digital tech. India’s ability to massify tech and use it at scale is one of the key pillars driving economic growth.

Transformation through Tech

Aadhaar, UPI and other platforms of the early India Stack are great examples of the catalysts powering India’s transformation. Building on this, the use of existing components and developing new platforms is something that the government must be acknowledged for. For example, the government-backed Open Network for Digital Commerce can become a game changer in giving small merchants across India access to a decentralised e-commerce network. If successfully implemented, consumers will be able to discover any seller, product or service using any compatible app or platform. Similarly, the commitment to building an open-source agricultural digital stack will enable farmers to get better credit, plan crops, source inputs and more. This coupled with the agricultural accelerator programme has the potential to significantly transform India’s rural economy.

At Deloitte India, we have experienced the benefits of tech in rural India through our collaboration with the Haryana government. Deloitte had set up a fit-for-purpose model along with ASHA workers, medical experts, students and the government during Covid-19 to provide healthcare in rural areas through remote monitoring. It also ran a pilot in three villages in Haryana to tackle anaemia under the Anemia Mukt Mahilayen programme. Telecom connectivity and the hundred 5G labs to be set up in engineering institutions can prove pivotal in priority areas like classroom education, precision farming, intelligent transport system and healthcare.

Tech will continue to evolve and a partnership between the government, academia and industry will be critical in developing innovations. It is commendable that the Budget makes a start with the Centre of Excellence framework for 5G and AI Labs to achieve the vision of “making AI in India and making AI work for India”, along with incentivising development of new-age technologies.

Easy Does It

As India builds on its capabilities and competitiveness, it will continue to move up the value chain. There are many possibilities lying in wait for India. For instance, managing drones like an air traffic controller for a firm in another country, or providing cybersecurity globally from India are just some examples. For these aspirations to become a reality, not only will we need to innovate continuously, but we also need a supportive regulatory environment. As data moves freely across borders, India has opened its doors to address the global challenge of data security and privacy. For countries and firms looking for digital continuity solutions, the Budget offers a proposal to set up data embassies in GIFT City. This is a welcome move to manage India’s regulatory priorities with emerging opportunities.

While some of the initiatives discussed above are very tangible for the average citizen, there are several programmes that are critical for ease of living and doing business. For example, the proposed National Financial Information Registry will address the problem of asymmetrical information in the financial sector and help companies borrow. Another is the government’s efforts to digitise the compliance experience for assessees, as that has increased since the inception of GST. The successful implementation of e-invoicing and GST analytics has led to sharpened fraud detection, stricter audit protocols and digital GST forensic tools. These aspects have helped grow the average GST collections consistently.

Following the trend, the Budget has offered several policy measures to achieve a robust digital economy. However, the most commendable announcements was of using tech to ensure the dignity of every human being. Machine-hole—the concept of using machines to clean sewer holes announced in the Budget—therefore, is both a symbolic and pragmatic solution that defines what India wants to be known for as a nation.

Green Growth Path

Even as India spends billions on physical infrastructure and incentivises manufacturing through production-linked incentive (PLI) schemes, championing the green objective is an ethos engrained in Indian tradition. Therefore, the Budget intends to not just increase economic activity, but also make it sustainable in the longer run. There is an all-round focus on the critical aspects of energy transition and energy security paradigm, with an outlay of `35,000 crore. The objective is to promote indigenous manufacturing and use innovative tech across new energy areas, including green hydrogen, battery storage and compressed biogas. Basic customs duty has been exempted on imported capital goods/machinery required for manufacturing of lithium-ion cells. Other PLI schemes on manufacturing of battery cells, EVs/fuel cell EVs and auto components will further boost domestic innovations.

So, while India rules the world of IT and allied services, this Budget has laid emphasis on the quantum of tech that is yet to be conquered. The intentions of the government are right, and the conviction displayed by it is that of a developed economy. The bold vision will propel India forward. And collaboration will help us build a better future together.

The writer is the CEO-designate of Deloitte India. Views are personal