India poised to become high-income nation with $23-$35 trillion GDP by 2047: Nasscom, Bain & Company report

India is set to transform into a high-income country with a projected GDP of $23–$35 trillion, driven by sustained annual growth of 8 per cent -10 per cent. This will be powered by India’s demographic dividend, technological innovation, and sectoral transformation, according to the India@2047: Transforming India into a Tech-Driven Economy report by Bain & Company and Nasscom.

By 2047, the services sector is expected to contribute 60 per cent of India’s GDP, while manufacturing will account for 32 per cent, both playing a pivotal role in economic expansion.

With nearly 200 million individuals expected to enter the workforce in the coming decades, India has a unique opportunity to drive high-value job creation and unlock significant economic potential.

Five key sectors including—electronics, energy, chemicals, automotive, and services—would act as strategic growth levers due to alignment with global trends and scalability, with the potential to address India’s unique challenges and advantages.

Rising income, a growing pool of skilled workers, and continuous improvements in infrastructure are some of the key factors that can fuel this growth.

Tech Trends

In agriculture, advancements such as automated farming and harvesting, precision agriculture, and digitalisation will enhance productivity and optimise resource use. Manufacturing will witness growth through hyper-automation, 3D and 4D additive manufacturing, quantum-driven supply chains, and circular manufacturing, enabling more efficient and sustainable production. 

Meanwhile, the services sector will be propelled forward by AI/ML and generative AI adoption, quantum computing, and brain-computer interfaces, playing a crucial role in advancing automation, decision-making, and customer experiences.

Unlocking India’s Full Potential

However, realising this vision requires overcoming key structural challenges through a tech-enabled, multi-pronged approach. The report underlines a projected workforce gap of about 50 million people by 2030, necessitating expanded STEM education and targeted skilling initiatives across sectors. Further, a greater emphasis on backward integration and local manufacturing could reduce India’s reliance on imports for critical components.

Public-private collaboration in AI, green energy, and other critical sectors and enhancing R&D investment as a percentage of GDP could accelerate domestic innovation, reducing dependence on global supply chains. Additionally, India’s economic vision emphasises an outward-looking approach, leveraging international partnerships to strengthen its position in global value chains.

According to the report, expanding trade through Free Trade Agreements and diversifying exports into emerging markets like Africa and Latin America could reduce reliance on traditional partners and enhance India’s global presence.

Sangeeta Gupta, Sr. Vice President at Nasscom, said, “India’s economic growth depends on strengthening infrastructure, bridging skill gaps, and fostering innovation through technology and global partnerships. By investing in digital and transport infrastructure, enhancing domestic manufacturing, and driving collaborative R&D, we can position India as a leader in future technologies and global trade. A multi-pronged, tech-driven approach will be key to unlocking inclusive and sustainable growth.”

Lokesh Payik, Partner at Bain & Company, said, ”India stands at a critical juncture in its journey toward becoming a high-income nation, with a projected GDP of $23–$35 trillion by 2047. This transformation hinges on sectoral transformation, technological advancements, and workforce development, shifting India from a net importer to a globally competitive, export-driven economy. 

Electronics is one of the key sectors instrumental in this journey and is poised to emerge as a global manufacturing hub expected to $3.5 trillion by 2047, contributing more than 20 percent to global production.”

Transformative technologies are rapidly reshaping multiple industries, with established themes like cloud computing and big data, evolving into emerging trends such as AI/ML, and blockchain.

Looking ahead, future innovation drivers like quantum technology and next-gen transport will further redefine possibilities. Effectively leveraging these advancements will be crucial to leapfrog growth and drive the next wave of innovation.

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