- Undoubtedly, the Indian economic heft around the world is on an upswing warming the cockles of all concerned. While most of the nations are struggling, including the advanced nation, the Indian GDP is showing steady signs of growth. Yes, this allows rightfully accepting the moniker as the fastest-growing economy. The Prime Minister has pledged for accomplishing an ambitious $5 trillion economy that does not appear to be too far-fetched. Indeed, the exhortations of the PM did appear too far-fetched when it was made earlier. But not anymore. Of course, the road ahead is strewn with several challenges that must be overcome to be counted amongst the very few nations with considerable economic heft. Nonetheless, visible signs are positive, to say the least.
PC: Freepik
- Against this backdrop, an interesting take was made by the Vice-Chairman and Managing Director of Time Group in his special address at the ET Global Business Summit recently. Let’s delve further to comprehend what he had to contend. A sense of belonging can never be circumscribed by location, your passport does not define who you are. We have seen enough of the emotional response of the audience, usually dominated by Indian expatriates and persons of Indian origin, to any Indian cultural performance or for that matter sporting performances overseas. For the uninitiated, this group numbering around 3.2 crores, is highly skilled and successful. In the US, for instance, the average income of Indian households is higher than that of any other group.
- Unsurprisingly, Indians are among the top earners in several countries as well. A 2012 estimate of the diaspora’s wealth was $1 trillion. Ten years later, that figure would have definitely increased substantially. If we add the collective economic heft of Indians abroad to India’s GDP, which will be $3.5 trillion at the end of March, there’s little doubt Indians in the most fundamental sense already generate an economic value well over $5 trillion. Of course, India as defined by its national boundaries will likely have a GDP of $5 trillion by 2025 but the India that includes those abroad and invested in the India story is already a $5 trillion-plus powerhouse. Interestingly, this idea has broad and significant implications.
PC: Freepik
- Mind you, just as many country’s top income earners are pivotal to its economic progress – they invest, they motivate, they take risks, they back new technology, they create jobs – so can 3 crore plus Indians abroad be a huge asset for India. They already send $100 billion in remittances to their home country annually – the highest remittance figure in the world. In business, network effects kick in when the value of a product is intrinsically tied to the increase in the number of users. Just imagine the network effect of human beings – the network effect of high-earning, high-performing Indians abroad entirely invested in the idea of India’s progress. Thus, integrating many more ways of the diaspora’s economic dynamism into the India story makes imminent sense.
