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India’s digital economy set to reach 20% of GDP by 2030

India’s digital growth story is gaining strong momentum, with rapid expansion expected over the next few years. S Krishnan, Secretary at the Ministry of Electronics and Information Technology, stated that the country’s digital economy is projected to contribute nearly 20% to the Gross Domestic Product (GDP) by 2030.

Speaking at the Nasscom Global Confluence 2026, Krishnan highlighted that the digital economy, which includes IT, IT-enabled services, and the electronics sector, currently accounts for about 13% of India’s GDP. He noted that the sector is growing at nearly twice the pace of the overall economy, driven largely by the increasing adoption of Artificial Intelligence (AI).

“Currently at about 13% of India’s GDP, we are going twice as fast as the rest of the economy. We’ll end up being almost about 20% of India’s GDP by 2030,” Krishnan said.

He also underlined India’s growing global technology presence. The country has signed Memoranda of Understanding (MoUs) with over 53 nations to support the global rollout of its Digital Public Infrastructure (DPI) model. These partnerships cover countries across the Global South, as well as regions in Europe and Russia.

Krishnan added that India has developed a scalable and cost-effective model that integrates AI research with DPI. Under the India AI Mission, compute infrastructure is being offered to domestic innovators, entrepreneurs, and researchers at one-third of the current market cost.

In addition, more than 10,000 datasets and locally developed AI models have been made accessible to support innovation. He expressed confidence that India’s software services exports, currently valued at around USD 250 billion, will not decline but will instead undergo a structural transformation.

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