India Aims for Technology to Constitute 20-25% of GDP by 2025-26

In a significant development highlighting India’s commitment to the digital transformation journey, IT Minister Chandrasekhar recently announced an ambitious target for technology to contribute 20-25% of the country’s GDP by the fiscal year 2025-26. This goal emphasizes the government’s recognition of technology as a critical driver of economic growth, job creation, and overall prosperity in India. With this bold vision, India aims to position itself as a global technology powerhouse, unleashing the potential of digital innovation across various sectors.

Driving economic growth through technological advancements.

As India strives to achieve a $5 trillion economy, the focus on leveraging technology becomes even more crucial. The IT Minister’s target underscores the importance of embracing digital transformation across industries, including manufacturing, agriculture, healthcare, education, and financial services. By harnessing the power of emerging technologies such as artificial intelligence (AI), blockchain, Internet of Things (IoT), and cloud computing, India seeks to fuel economic growth and enhance productivity.

Promoting digital entrepreneurship and innovation.

The government’s vision also entails fostering a conducive ecosystem for digital entrepreneurship and innovation. Startups and technology-driven enterprises are recognized as vital contributors to job creation, wealth generation, and global competitiveness. The aim is to nurture a vibrant startup culture that can propel India to the forefront of technological innovation.

Investing in skill development.

Achieving the desired target of technology contributing 20-25% of India’s GDP necessitates a skilled workforce capable of driving the digital revolution. The government acknowledges the urgency of upskilling and reskilling the workforce to bridge the existing technical skills gap. The Ministry of IT has collaborated with industry stakeholders, academia, and vocational training institutes to design and implement comprehensive skill development programs to address this. By equipping citizens with the necessary digital skills, India can capitalize on the opportunities a technology-driven economy presents.

Infrastructure development and digital connectivity.

To support the exponential growth of technology, robust infrastructure, and reliable digital connectivity are imperative. The government has initiated the development of digital infrastructure, including high-speed broadband networks, data centers, and smart cities. The ambitious BharatNet project aims to connect all Indian villages with high-speed internet, bridging the digital divide and enabling inclusive growth. Additionally, efforts are underway to strengthen cybersecurity measures and protect critical digital infrastructure from emerging threats.

Challenges and the Road Ahead

While the vision of technology contributing 20-25% of India’s GDP by 2025-26 is commendable, several challenges lie ahead. Bridging the rural-urban digital divide, ensuring data privacy and security, and fostering digital literacy among citizens are some hurdles that must be overcome. Collaboration between the government, industry leaders, and academia will be pivotal in addressing these challenges.


India’s IT Minister Chandrasekhar’s announcement regarding the target for technology to constitute 20-25% of the country’s GDP by 2025-26 demonstrates a clear commitment to leveraging technology as a catalyst for economic growth and development. By harnessing digital innovation, fostering entrepreneurship, and investing in skill development, India aims to position itself as a global technology powerhouse. However, achieving this ambitious goal requires concerted efforts, collaboration, and sustained focus on overcoming the challenges. With the right approach, India can unlock immense potential and shape a prosperous, technology-driven future.


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