In a recent address at the Food and Agriculture Organisation (FAO) on the theme of ‘Accelerating Progress Towards Zero Hunger for Current and Future Generations,’ United Nations General Assembly (UNGA) President Dennis Francis highlighted a remarkable success story: India’s digital revolution. According to Francis, over the past five to six years, approximately 800 million Indians have been lifted out of poverty through the use of smartphones. But how exactly has this digital transformation changed lives, and what can other countries learn from India’s experience?
The Digital Boom: From Rural Areas to Urban Success
The core of this success story lies in India’s massive leap in digitalisation, especially in rural areas where access to traditional banking services was once a distant dream. Smartphones have become a game-changer, providing rural residents with the tools to engage in banking, pay bills, and conduct transactions that were previously out of reach. This shift has significantly impacted economic inclusion and poverty alleviation.
Dennis Francis praised the high internet penetration in India, which he believes has been instrumental in this transformation. With widespread cellphone use, many Indians now manage their finances and business transactions directly from their smartphones. The integration of technology into everyday life has allowed farmers and small business owners to transact, receive payments, and handle bills with unprecedented ease.
India’s Digital Milestones: The Modi Era
The digitalisation drive in India gained momentum with the Narendra Modi-led government’s focus on modernising the economy. The demonetisation of Rs 500 and Rs 1000 banknotes in 2016 was a pivotal moment, leading to a surge in digital payments. The Unified Payments Interface (UPI) emerged as a key player in this transformation, facilitating seamless and secure transactions across the country.
The government’s JAM initiative – Jan Dhan, Aadhaar, and Mobile – has also been instrumental. By linking bank accounts with Aadhaar (a biometric identification system) and mobile phones, the initiative has enabled millions of Indians, including those in rural areas, to access banking services and government schemes more efficiently. This approach has not only expanded financial inclusion but also streamlined the distribution of welfare benefits.
Challenges and Global Lessons
While India’s success is noteworthy, it also underscores a broader issue of digital inequality. Francis pointed out that many countries in the Global South do not have the same level of digital infrastructure or internet access as India. This disparity highlights the need for global efforts to address digital inequality and create more inclusive digital frameworks.
The Indian model offers valuable lessons for other nations striving to leverage digital technology for development. Key factors include high internet penetration, government support, and initiatives that integrate digital tools into daily life. However, the path to digital inclusion must also address infrastructural gaps and ensure that no one is left behind.
A Call to Action
As the world looks to accelerate progress towards zero hunger and other developmental goals, India’s experience serves as a beacon of what is possible through digitalisation. The story of 800 million people lifted out of poverty through smartphones is not just a testament to technological progress but also a call to action for other countries to embrace digital solutions and address inequalities.
Disclaimer: The information presented in this blog post is based on statements made by UNGA President Dennis Francis and reflects current data and perspectives. It is intended to provide a comprehensive overview of India’s digital transformation and should be considered within the context of ongoing developments and research.
