Harsh Goenka's vision: India needs to rediscover and recover its old mojo

Ancient India had a significant and prosperous economy before the Industrial Revolution. India was famous for its contributions to mathematics, science, philosophy, and art. However, colonisation and the Industrial Revolution changed the global order, and India lost its preeminent position to the West.

Since the start of the new millennium, India has been slowly but steadily rediscovering its old mojo. A resurgent India is making headlines around the world, shedding its ‘developing country’ tag and morphing into a global power. From its consistent average pace of economic growth to now becoming a global force in manufacturing and advancing in science and technology.

We are today the world’s fifth-largest economy, having surpassed former colonial power Great Britain and also France, and we are on course to overtake Germany and Japan by 2030. Only China and the US will be ahead of us.

In this backdrop, India’s steady rise in the global order gains significance. Our leadership displayed on the global stage in recent months also reflects this.

In recent times, India has had a stable political situation at the centre. We have a robust working-class population and a large consumer base. The manufacturing sector has been further bolstered by the rise of the services sector. Over the past two decades, a large number of reforms have paved the way for India’s rise. The future looks very bright.

For example, our manufacturing sector is only just hitting its stride, establishing us as a hub for everything from phones and pharmaceuticals to automotive and aerospace components. Our spirit of entrepreneurship has been vibrant, with access to technology spawning a thriving start-up ecosystem spanning the remotest corners of the country.

At the same time, we are building infrastructure like roads, railways, airports, and ports on an unprecedented scale. The automotive sector is usually a good indicator of the health of an economy, and in November, car sales hit a new record. What’s more, customers are foregoing previously popular entry-level models for pricier SUVs. We have set realistic and achievable sustainability targets. We have indeed come far.

Turning to the future, what’s encouraging is that we have barely scratched the surface of our potential. India is blessed with a demographic dividend. We often speak negatively about the size of our population. But when you consider that more than half of our citizens are aged below 25 and nearly two-thirds are of working age, it becomes our biggest asset. We are set to become the world’s third-largest consumer market by 2027, per estimates.

For us to truly claim the position of a developed nation, it is important that our per capita income levels are globally competitive. It is also important that we do much better on the Human Development Index, particularly in healthcare, education, and sanitation. Besides, we must not forget that we live in a competitive world, and many are vying for the same opportunities. India, five years ahead, has the potential to look very different. But we must continue to address the challenges and plug the gaps if we are to truly emerge as a global superpower.

Here are a few points that should be part of our five-year agenda:

• Embracing the digital economy: India should leverage its growing digital infrastructure to boost e-commerce, fintech, and other digital services.
• Investing in R&D: Increased investment in R&D—especially in cutting-edge technologies like AI, machine learning, and green technology—is crucial. Collaborations between academia, industry, and government can spur innovation.
• Strengthening the IT sector: The continuous upgrade of IT skills and infrastructure, along with promoting software development and IT services, can consolidate India’s position as a global leader.
• Developing critical technologies: Focus on developing technologies critical for national security, such as defence technologies, space exploration, and cybersecurity.
• Reforming the education system: Revamping the education system to focus more on critical thinking, creativity, and practical skills is essential. Encouraging world-class higher education and research institutions within India can help retain talent and attract students and academics from abroad.
• Enhancing vocational training: Strengthen vocational training and skill development programmes to create a workforce equipped to handle the evolving job market.
• Strengthening public health systems: Improving healthcare infrastructure, especially in rural areas, and ensuring access to affordable healthcare for all citizens.
• Promoting health research and pharma: India should focus on pharmaceutical research and development, aiming to become a leader in generic medicines and vaccine production. We must also utilise telemedicine to enhance healthcare delivery.
• Building strategic alliances: Forge strategic partnerships and alliances, focussing on mutual economic growth, defence, and technology exchange. Play an active role in international forums to influence global policies. And proactively engage with the Indian diaspora.
• Promoting renewable energy: Commit to renewable energy sources to reduce dependence on fossil fuels and combat climate change. Focus on conservation of water, forests, and wildlife, along with sustainable agricultural practices. And implement policies for sustainable urban development.
• We also need to empower our women. We have made good progress on many gender-based parameters, including our sex ratio, female life expectancy, and gender inequality. But the participation of women in our workforce is still among the lowest in the world. At the same time, the proportion of women who have ownership of their own property or autonomy in financial matters, not to mention representation of women in politics, remains low.

Prime Minister Narendra Modi has fostered a sense of national pride amongst Indians. There is a growing sense of confidence that he will help reclaim India’s destiny as a leader of the world and make it regain its glory as a culturally rich, economically prosperous, and socially vibrant country that not only leads but nurtures the world. 

The author is Chairman of RPG Group. Views are personal