Write a brief essay discussing how the Indian diaspora has influenced India’s economic structure. (125 words).[UPPSC 2018]
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Contribution of the Indian Diaspora Towards Economic Structure in India
1. Investment and Remittances: The Indian diaspora significantly contributes through foreign direct investments (FDI) and remittances. For example, Indian-Americans have invested in various sectors, boosting India’s startup ecosystem. Additionally, remittances from the diaspora have been vital in supporting rural and urban economies.
2. Skill Transfer and Entrepreneurship: Diaspora members bring back expertise and innovation. Notable is the role of NRIs in setting up tech startups and manufacturing units in India, like the investments by Nandan Nilekani and Sundar Pichai in technology sectors.
3. Philanthropy and Development Projects: The diaspora’s philanthropic efforts support numerous development projects. For instance, Ratan Tata’s contributions to educational institutions and healthcare facilities demonstrate their impact on India’s social infrastructure.
Conclusion: The Indian diaspora plays a crucial role in shaping India’s economic landscape through investment, skill transfer, and philanthropy.