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NET ZERO IMPORTS
economic policy must clearly focus on stimulating domestic private investments for pushing up the economic growth to its potential level .
The government has initiated / undertaken several reforms measures , for instance , the liberalization of FDI , ease of doing business , cleaning up the legacy of tax issues , the new bankruptcy law , and the possible implementation of the GST . However , for sustainable and rapid medium term growth , private sector investment and exports need to revive .
In this context , the Prime Minister ’ s vision ‘ Make in India ’ aims |
to transform India , poised to become the third-largest |
economy of the world by 2030 , into the next manufacturing |
Source : Central Statistics Office |
destination . It envisions an increase in the manufacturing |
sector growth to 12-14 % per annum over the medium term |
the broad categories of distortions in labour markets ; |
and increase the share of manufacturing in the country ’ s Gross |
distortions in capital markets ; distortions in land markets ; and |
Domestic Product from 16 % to 25 % by 2022 . |
inappropriate specialisation away from India ’ s natural |
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The emerging sectoral trends do suggest that though services are still the growth drivers , the industrial sector , led by manufacturing , is likely to also propel economic growth in the
3 coming quarters . Moving from H2 2014-15 to H1 2015-16 , the contribution of manufacturing sector to overall growth increased from 16.8 per cent to 21.0 per cent while the contribution of services declined from 81 per cent to 66.8 per cent .
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comparative advantage and toward skill intensive activities .
The Survey further called for improving the business environment by making regulations and taxes less onerous , building infrastructure , reforming labour laws , and enabling connectivity . These policy changes would reduce the cost of doing business , increase profitability , and hence encourage the private sector , both domestic and foreign , to increase investments .
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However , India has not been able to achieve the desired growth rate for manufacturing sector . The Economic Survey for
2014-15 noted that manufacturing has failed to be an escalator of progress in India due to several factors that fall in
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Added to the factors identified by the Economic Survey , are the disabilities faced by the businesses on account of fiscal factors . Thus , policy interventions are needed to minimise both fiscal and business environment disabilities . |
2
Vision ' Digital India '
The government ’ s vision of ‘ Digital India ’ aims to transform India into a digitally empowered society and knowledge economy . The Electronics sector has been identified as one of the pillars to achieve this vision .
‘ Digital India ’ has identified three vision areas : a ) Digital infrastructure for the citizens b ) Digital empowerment of citizens and c ) E-governance .
The Digital India vision will have an impact on multiple
4 spheres . A new McKinsey Global Institute ( MGI ) report identifies a dozen technologies , ranging from the mobile internet to cloud computing to advanced genomics , which will have a deep impact on six sectors of the economy : financial services , education and skills , healthcare , agriculture and food , energy , and infrastructure . Given the contribution of these sectors to India ’ s GDP , the combined economic impact could be USD550 billion to USD1 trillion a year in 2025 .
Thus , creation of an environment in which these technologies flourish by adopting appropriate regulations and by helping to foster an environment for innovation will be important for achieving the potential .
In this context , IT hardware will be the fundamental foundation of the above vision . Though tablets , smartphones and mobile technology may become the endpoint or consumption device , IT hardware will still be highly relevant as it is the foundation for creation and running of IT content , apps , and so on . With the rollout of Digital India , there will be a corresponding rise in the requirement of IT hardware – by various segments including government , private enterprises and citizens .
Digital Infrastructure as a Core Utility to Every Citizen
Digital Infrastructure as a Utility to Every Citizen
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Governance and Services on Demand
Governance & Services on Demand
Availability of high |
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Seamlessly |
speed internet a a core utility for delivery of services to citizens |
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Cradle to grave |
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digital identity |
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that is unique , |
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lifelong , online and authenticable |
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to every citizen |
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Mobile phone & |
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bank account |
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enabling citizen participation in |
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digital & financial |
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space |
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Easy access to |
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Common Service
Centre
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Shareable private |
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space one public |
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cloud |
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Safe and secure |
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cyber-space |
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integrated services across departments or juisdications
Availability of services in real time from online & mobile platforms
All citizen entitlements to be portable and available on the cloud
Digitally transformed services for improving ease of doing business
Making financial transactions electronic & cashless
Leveraging Geospatial Information Systems ( GIS ) for decision support systems & development
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Digital Empowerment of Citizens
Digital Empowerment of Citizens
Universal digital literacy
Universally accessible digital resources
Availability of digital resources / services in Indian languages
Collaborative digital platforms for participative governance
Citizens not required to physically submit Govt . documents / certificates
Spotlight on Indian Electronics 2016 | 66