Economic transformation: India emerging as ‘global hub for services exports’; poised to be world’s third-largest economy by 2027
India is rapidly establishing itself as a global leader in services exports, with a compound annual growth rate (CAGR) of 14.8 per cent over the past three decades, outpacing goods exports, which grew at 9.8 per cent, said National Stock Exchange (NSE) officials. According to news agency PTI, NSE chief economist Tirthankar Patnaik said, “India will be to services, what China has been to manufacturing. It is emerging as a global hub for services exports.”India now holds a 4.3 per cent share in global services exports, ranking seventh worldwide. Telecom, IT and business services contribute nearly three-fourths of total service exports, with technology exports alone crossing $200 billion in FY25, according to the NSE presentation.The country has also become the largest hub for Global Capability Centres (GCCs), which increased from 1,430 in FY19 to 1,700 in FY24 and are projected to reach 2,200 by FY30, employing up to 26 lakh professionals. The GCC market is expected to expand from $40 billion in FY19 to $100 billion by FY30.Key structural reforms driving growth include the Goods and Services Tax (GST), Insolvency and Bankruptcy Code, Real Estate Regulation Act (RERA), and corporate tax cuts. Liberalisation measures such as faceless assessments, simplified labour laws, and performance-linked incentives, along with privatisation and globalisation initiatives including bank mergers, foreign trade agreements, FDI expansion, and internationalisation of UPI, have strengthened investor confidence.Social reforms have further supported the transformation, with over 100 million LPG connections under the Ujjwala Yojana, more than 120 million toilets built under the Swachh Bharat Mission and large-scale financial inclusion through Jan Dhan Yojana.The NSE projected India’s real GDP growth at 6.3-6.8 per cent and nominal growth around 12 per cent. At this pace, India is expected to become the world’s third-largest economy by 2027, overtaking Japan and Germany. The growth strategy focuses on expanding private investment, strengthening MSMEs, bridging the education–employment gap, and promoting green financing and agriculture-led growth.“NSE’s analysis reaffirms India’s transformation into a services-driven powerhouse,” the official added.
