The AI Landscape

Editorial

As India embarks on its journey towards becoming a ‘Viksit Bharat’ by 2047, the Golden Era – Kartavya Kaal signifies a period of responsibility and action. The Union Budget 2024-25 lays out a comprehensive roadmap for the growth and development of the manufacturing and services sectors, recognising their pivotal role in driving economic growth and employment. The budget is focused on four major groups: Garib (poor), Mahilaayen (women), Yuva (youth) and Annadata (farmers).
Initiatives like SAMARTH Udyog Bharat 4.0 and the Production Linked Incentive (PLI) scheme aim to boost the manufacturing sector’s competitiveness and increase its share of GDP to 25 per cent by 2025. The shift towards automated and process-driven manufacturing is a step in the right direction, enabling India to become a global manufacturing hub. A comprehensive skill development initiative aims to empower approximately 2 million youth over a five-year period. This endeavour involves the upgrading of 1,000 Industrial Training Institutes (ITIs) through a hub-and-spoke model, prioritising outcome-based training to enhance employability and industry readiness. Course content and design are aligned with the skill needs of the industry.
The services sector contributes over 50 per cent to India’s GDP and is poised for growth. Focussing on digital technologies and institutional frameworks has created an environment conducive to the sector’s expansion. Initiatives like Smart Cities, Clean India and Digital India have fostered a culture of innovation, enabling the services sector to experience double-digit growth in recent years.
The Union Budget 2024-25 reinforces the commitment to the growth of these sectors, with a focus on nine priority areas, including manufacturing and services. The budget aims to stimulate rural economic development and promote Micro, Small, and Medium Enterprises (MSMEs). A comprehensive package has been introduced to support MSMEs, including financing, regulatory changes, and technology support.
The synergy between manufacturing and services will be crucial as India navigates its journey towards becoming a developed nation. Integrating logistics, financial services, and a robust startup ecosystem will create a dynamic and resilient economy. The emphasis on digital infrastructure, digital literacy, and the integration of manufacturing and services aims to build a dynamic economy that fosters innovation, growth, and prosperity for all citizens.
The Union Budget 2024-25 charts a promising course for India’s economic growth, emphasising manufacturing, services, and digital technologies. While the initiatives hold potential for driving growth and employment, their success hinges on effective implementation and navigating potential headwinds. As we embark on this journey, it’s crucial to remain vigilant and adapt to emerging challenges, ensuring that the benefits of growth are equitably shared and the digital divide is bridged. By doing so, we can harness the opportunities presented by this