In February 2025, Boston, Massachusetts (United States of America, USA)-based management consultant company, Bain & Company, Inc. in collaboration with National Association of Software and Services Companies (NASSCOM) released a report titled ‘India@2047: Transforming India into a Tech-Driven Economy’. As per the report, India is set to become a High-Income Nation (HIN) with a projected Gross Domestic Product (GDP) between USD 23-USD 35 trillion by 2047.
- This growth is mainly be driven by sustained annual growth of 8%-10%, supported by India’s demographic dividend, technological innovation, and sectoral transformation.
- The report has projected that services sector is expected to make up 60% of India’s GDP, while manufacturing will account for 32%, both sectors will become crucial drivers of economic growth.
Key Projections:
i.The report mentioned that with approximately 200 million individuals expected to enter the workforce in the coming decades, which will be a unique opportunity for India to promote high-value job creation and unleash significant economic potential.
ii.The report has outlined 5 key sectors such as: electronics, energy, chemicals, automotive, and services, will act as strategic growth levers due to alignment with international trends and scalability.
- These sectors have the potential to address India’s unique challenges and advantages.
iii.As per the report, India’s share of Renewable Energy (RE) in its total energy production is expected to increase from 24% (in 2023) to around 70% by 2047.
- Similarly, the auto-component export sector is expected to reach USD 200-USD 250 billion by 2047, supported by share capture in ICE market and long-term shifts to Electric Vehicles (EVs).
iv.Advancements made in Artificial Intelligence (AI)-driven chip design, touchless manufacturing, and backward integration into component manufacturing and design will enhance cost competitiveness and innovation.
- This will help in increasing the export share of the sector from current 24% to 45%-50% by 2047.
- Also, its GDP contribution is expected to increase from 3% to 8%-10%.
v.The report observed that a projected workforce shortfall of nearly 50 million individuals by 2030 focuses on the need for improved Science, Technology, Engineering, and Mathematics (STEM) education and focused skill development programs across different sectors.
- It has also emphasized on backward integration and local manufacturing may help in decreasing India’s reliance on imports for essential components.
Roadmap for Indian Economy Transformation:
i.Electronics: AI-enabled chip design, touchless manufacturing, and biodegradable components will promote productivity and reduce electronic waste (e-waste).
- This will help in expanding domestic production, reducing import dependency, and generating about 20 million jobs, which will help in consolidating India’s position as global leader with around 25% share in electronics manufacturing.
ii.Energy: Smart grids will help in optimizing energy distribution, while decentralized systems like microgrids will improve accessibility.
iii.Chemicals: AI-driven molecular design and digital twins will improve Research & Development (R&D) efficiency and promote innovation.
- While, Bio-based production and green practices is expected to enhance sustainability ad export competitiveness, targeting nearly 10% share in global value chains, particularly in specialty chemicals.
About National Association of Software and Services Companies (NASSCOM):
Chairperson- Sindhu Gangadharan
President- Rajesh Nambiar
Headquarters- Noida, Uttar Pradesh (UP)
Established- 1988
