India’s push for global adoption of Digital Public Infrastructure (DPI) to enhance productivity and foster inclusive and sustainable development has been highlighted in a recent report by the G20 Task Force on DPI. The report underscores India’s leadership in digital infrastructure and advocates for international discussions to promote DPI adoption worldwide, aiming to accelerate socio-economic progress.
Leading the Digital Revolution
The ‘Report of India’s G20 Task Force on Digital Public Infrastructure’ emphasizes India’s rapid strides in leveraging DPI to achieve significant milestones in financial inclusion and economic development. What traditionally would have taken decades, India has accomplished in under ten years, thanks to its robust DPI framework.
Key Initiatives and Impact
Led by Amitabh Kant, India’s G20 Sherpa, and Nandan Nilekani, Infosys co-founder and chairman, the task force highlights pivotal initiatives like the Unified Payments Interface (UPI). UPI, widely adopted from street vendors to large retail establishments, has positioned India as a global leader in digital transactions, accounting for nearly 46% of all transactions worldwide.
Socio-economic Transformation
The report reveals that UPI penetration among lower-income households in India stands at an impressive 56%, underscoring the broad-based adoption of digital financial services across demographics. India’s Aadhaar initiative, with over 1.389 billion enrollments and more than 10 million daily e-KYC transactions, has facilitated access to banking services for over 500 million individuals, with significant representation from rural and female populations.
Fiscal Benefits and Efficiency Gains
The implementation of Aadhaar-based Direct Benefit Transfer (DBT) schemes has not only bridged economic disparities but also yielded substantial fiscal savings estimated at INR 2 trillion. This strategic use of DPI has streamlined government welfare programs, minimizing leakages and optimizing resource allocation.
Growth Trajectory and Global Implications
India’s DPI achievements extend beyond domestic borders, serving as a blueprint for global digital transformation efforts. With over 13 billion UPI transactions in April 2024 alone, totaling a cumulative value exceeding $230 billion (INR 19 lakh crore), India’s digital prowess is setting benchmarks in transaction volumes and financial inclusivity.