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  • Stronger Push To Digitalisation And Automation To Have Spillover Effects On Ease Of Doing Business Says RBI Governor
  • September 23,2021  15:30

  • Shaktikanta Das, Governor of Reserve Bank of India stated in a speech yesterday that India’s digital momentum is expected to continue with a strong demand in areas such as cloud computing, customer troubleshooting, data analytics, work place transformation, supply chain automation, 5G modernisation and cyber security capabilities. India has the natural advantage to benefit from the emerging trends in these areas. The drive towards full fiberisation of the economy has to go hand in hand with the establishment of data centres across the nation for data storage and processing. Ensuring universal, affordable and fast broadband internet access all through the country can play a critical role in advancing productivity and employment opportunities.

    Das noted that the stronger push to digitalisation and automation can have spillover effects on ease of doing business. Medical advances and process accelerations can spark a renaissance in public health innovations and delivery. E-commerce is emerging as another promising sector for India. It has benefited from growing market, increased internet and smartphone penetration and COVID-induced shifts in consumer preferences. Various initiatives taken by the government, namely Digital India, Make in India, Start-up India, Skill India and Innovation Fund have created a conducive eco-system for faster growth in the digital sector.

    The governor said that information technology (IT) services and information technology-enabled services (ITES) backed by entrepreneurial capabilities and innovative solutions have emerged as key strength of the Indian economy over the years. There is a growing league of Unicorns in India reflecting its potential for technology-led growth. The country has added several unicorns over the last year to become the third largest start up ecosystem in the world. Underpenetrated Indian markets and large IT talent pool provide an unprecedented growth opportunity for new age firms. Further, the COVID pandemic has provided a new impetus to technology-driven companies such as fintech, edtech and healthtech which are likely to see increased funding activity in the coming years.

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