With 140,000 startups and more than 100 unicorns, India has the third largest startup ecosystem in the world. Every twenty days or so, a new unicorn appears. This is the foundation of what could eventually grow into the world’s largest corporations.
In an exclusive interview with CNBC TV18, Borge Brende, President and CEO of the World Economic Forum, described India as the world’s “startup nation.”
Brende emphasized this entrepreneurial boom’s revolutionary potential by drawing comparisons to the Silicon Valley boom that gave rise to multinational behemoths like Google. In contrast to areas that are more dependent on big, industry-policy-driven corporations, he emphasized the importance of India’s thriving startup culture.
India’s youthful population and digital knowledge base are important advantages. India’s service-led export growth is mostly dependent on Global Capability Centers (GCCs), which take use of the country’s skill pool. Brende stated, “The young population is something that works for India,” adding that despite recent growth deceleration, these elements put the nation in a position to continue to be the largest economy with the greatest rate of growth.
Initiatives like “Make in India” and the diversification of global supply chains are driving the rapid evolution of India’s manufacturing sector. Apple and other corporations have greatly expanded their manufacturing operations in the nation.
India’s advantages—its young, English-speaking workforce and improving infrastructure—are attracting global manufacturers. However, Brende underscored the need for predictable electricity and competitive energy prices to sustain growth. He sees pharmaceuticals as a promising manufacturing segment, where India already demonstrates robust capabilities.
Brende thinks services and digital trade are where India has a comparative edge, notwithstanding the manufacturing push. “Services and digital trade are where the demand is truly expanding, and there India has a competitive edge,” he stated, noting that the country’s supremacy in these fields is still unmatched.
-NSH Digidesk
