New Delhi: A report led by Nasscom unveiled that Digital Public Infrastructures (DPIs), including the Unified Payments Interface (UPI) and Aadhaar, are set to drive India towards an $8 trillion economy by 2030, aiding the nation in realizing its $1 trillion digital economy aspiration. These DPIs, widely adopted and with significant economic impact, are benefiting approximately 1.3 billion citizens, covering 97% of India’s population.
The advanced DPIs have spurred a value creation of $31.8 billion, equivalent to 0.9% of India’s GDP in 2022.
As per Nasscom’s report, developed in collaboration with global consulting firm Arthur D. Little, Aadhaar has generated an economic value of $15.2 billion, primarily by curbing leakages in Direct Benefits Transfer. Conversely, UPI has supplanted cash transactions and electronic transfers across multiple sectors, contributing $16.2 billion.
“India’s digital transformation, propelled by DPIs, marks a leap towards a digitally-empowered economy, a cornerstone of ‘techade’, driving the ‘India@47’ growth narrative. DPI’s success has positioned India as a global leader in digital innovation,” remarked Debjani Ghosh, President of Nasscom.
In ecological terms, DPI adoption has resulted in significant paper savings and a reduction in carbon emissions. Time saved in the logistics and transportation sector led to a 3.2 million tonne decrease in carbon emissions in 2022.
Furthermore, DPIs align with core UN Sustainable Development Goals (SDGs) by offering citizen-centric solutions. India’s interoperable and open-source DPIs are now being embraced or considered by over 30 countries to promote social and financial inclusion.
“While mature DPIs have witnessed exponential adoption by 2022, the next 7-8 years offer an opportunity for further scalability, reaching even the most remote segments of the population. By 2030, DPIs will significantly enhance citizens’ efficiency and promote social as well as financial inclusion,” said Brajesh Singh, President-India, Arthur D Little.
The evolution of both established and emerging DPIs, along with innovative technology integration such as AI, Web3, and the Metaverse, presents substantial opportunities.
To unlock the full potential of DPIs by 2030, government agencies must continue to provide proactive policy support, regulatory clarity, and promote existing digital ecosystems. The report underscores the importance of establishing task forces to drive adoption and foster innovation through collaborations with corporations and startups.
“Startups and SMEs should build business models that capitalize on the full-scale adoption of existing digital infrastructure and experiment with new-age technologies. Corporates and Big Tech should anticipate future digital demand, build necessary infrastructure and foster innovation,” it added.
