Simply Digital!

For a country, discarded not many years ago by the so-called rich powers with demeaning commentaries on its ambitious programmes, India’s advancement in digital innovation and its deep impact on all sections of the society comes as a seminal moment. This digital transformation of its vast landscape housing 140 crore people is now a success story looked up to by the world in total awe.  

 

“What makes the digital revolution in India so interesting is that it’s been used by the government to actually provide benefits to all members of society. It hasn’t just created benefits for the lucky few. And this, I think, is very different from most other countries around the world,” said Nobel Laureate Professor Paul Michael Romer praising the country’s digital revolution. THIS encomium, coming from a luminary with straightforward and no-nonsense attitude, underscores a proud moment for India and at the same time reflects the essential role of the government in effecting a transformation. For a country, discarded not many years ago by the rich powers with demeaning commentaries on its ambitious programmes, the advancement in digital innovation and its deep impact on all sections of the society comes as a seminal moment. India’s digital transformation of its vast landscape housing 140 crore people is now a success story looked up to by the world in awe.

 

Countries with top-class resources and skill-levels are realising the power of a people-oriented approach by a government. Professor Romer has bluntly reminded the Western nations that India’s approach is in total contrast to their own hands-off stance where a select few are allowed to control platforms to create wealth rather than benefiting the public. The Unified Payments Interface (UPI), Aadhaar identification system, DigiLocker and similar platforms have become a runaway success story for India with their ability to transcend economic disparities. It shows India’s foresight and resolve to implement systems which can provide ease of living to every stratum of the society. The UPI revolution has totally changed India’s economic behaviour even in the hinterlands, dismantling all the apprehensions raised by previous political dispensations.

 

The same UPI was once turned into a subject of mockery by former Finance Minister P Chidambaram who had insisted that the world was turning to a cash-based economy and Prime Minister Narendra Modi’s dream of a digital economy was a mistake. In a matter of just ten years, platforms like UPI, Aadhaar, DigiLocker and DigiYatra have made day-to-day life more efficient and accessible for Indians. The unique thing of this monumental success is the will of the government to make better use of technology for the benefit of all. It opened up all paths to development of a digital ecosystem with equal and strong participation from every sector. This approach was in sharp contrast with the private sector monopolisation of digital platforms in the West which has prevented creation of a government-controlled system. Professor Romer’s criticism of the United States in not leading the digital revolution is a blunt attack on a system where digital advancements were used only in silos to benefit only an exclusive group. India’s digital journey is a fine example of how government innovation helps the private sector to thrive. This is a big lesson for the world from the Indian success.

 

The cooperation between government and private sector was instrumental in ambitious Aadhaar project overcoming numerous legal challenges. It has turned into a gamechanger, ensuring that government benefits like Direct Benefit Transfer (DBT) reached the actual recipient without any leakages. The Aadhaar system has, in effect, safeguarded the entire ‘One Rupee transferred from Delhi to the intended beneficiary with no chance of the middle-men pinching 85 paise on the way through’. The dark lament by former PM Rajiv Gandhi has been consigned to history. The success of systems like Aadhaar and UPI is undeniable. These platforms are now models of people-oriented governance. They have busted the myth of the size of a country impeding implementation of revolutionary reforms. What matters is capability, capacity and desire to bring a change. The sweeping digital reforms across the country were made possible because India wanted it and decided to do it.

 

It is now being hailed as an extraordinary success by the world. India now stands at the forefront of a digital revolution that is poised to further reshape the socio-economic landscape of the world’s largest democracy. The UPI now leads the global digital payments space. The first half of 2024 saw a 52% rise in UPI transactions. The total transaction value has surged to a staggering 116.63 million rupees. Growing number of countries are now adopting UPI as a payment interface. Maldives has become the latest to implement UPI as a mode for payment. This journey towards digital empowerment holds tremendous promise for the Indian economy. The digital wave sweeping metropolises and rural areas is set to touch every facet of life in the coming years. It is bound to change the way of work and communication. This transformation is driven by a plethora of factors including internet connectivity, start-up ecosystem and government’s initiatives. With the advent of Artificial Intelligence, the digital revolution is on the cusp of a major change. This is the perfect opportunity for India to set an example for the world on how the stallion of advanced technology is tamed for ethical and responsible use. n