What’s Powering a Trillion Dollar Revolution

Context: In recent years, the Indian government has been adopting path-breaking digital initiatives across various sectors. These initiatives hold tremendous potential to spur entrepreneurship, increase India’s global competitiveness and meet the nation’s goal of “growth for all”.

What are the thrust areas of the government’s digital strategy?

First, a digital backbone for the country: The government is trying to achieve this aim by boosting up the optic fibre network, which is the digital backbone of a digital economy. It is being executed under the BharatNet project.  In addition, 5G services are likely to be rolled out by the end of the 2022. It will enable access to high-speed internet in a few years.

Second, platforms and portals to improve the government services: The government has been building up Open, scalable digital public platforms like Aadhaar, DigiLocker and UPI.

In addition, the government has also planned (1) healthcare registry and platform known as Ayushman Bharat Mission to allow accessing and sharing of health records digitally, and (2) an open network protocols such as ONDC to make digital commerce more accessible for MSMEs,

Also, the government has also planned for the Skill & Livelihood ecosystem-DESH, setting up a digital university and intensified focus on financial inclusion.

Thirdly, digitising of public service delivery. For example, filing of income tax returns, single-window clearance for projects, the GeM portal for digital public procurement, the e-bill system etc. Also, the proposed Gatishakti initiative is a step in this direction.

What are potential benefits of these digital upgradations?

The digital platforms have the potential of scalability and inclusivity. For example,75% of the Public Distribution System (PDS) distribution at a national level has been done through Aadhaar-authentication. The disbursement of MGNREGA wage payment is done through a central platform which is authenticated by using Aadhaar.

The Direct Benefits Transfer has helped to address the leakages and ensure government’s saving to the exchequer. It has been done by leveraging Aadhaar.

Way Forward

There is a need for strong policy and regulatory reforms for boosting digital infrastructure in India. For this, the government can initiate Public-private dialogue to promote trust.
The government can start using Web 3.0 technologies to plug loopholes and improve service delivery.

A robust privacy and data protection law also needs to be expedited.

News: The post is based on an article “What’s powering a trillion-dollar revolution” published in the Times of India on 04^th April 2022.