Money spent on apps to reach $800 billion in India

The amount of money spent on apps is projected to reach around $800 billion (Rs 64 lakh crore) in India by 2030, according to the report by Broadband India Forum (BIF).
Phone coverMinister of State for Electronics and IT Rajeev Chandrasekhar released the report.

The Indian economy is expected to be around $6,600 billion by 2030 and the app spending is likely to be around 12 percent of the GDP.

The growth being observed in the app economy is around 32 percent, which is more than four times the GDP growth, which can be attributed to the larger multiplier effect of smartphone users and overall economic expansion.

“India’s aspiration to become a $5 trillion economy in the next few years is premised on a $1 trillion contribution from the digital economy,” said Aruna Sundararajan, BIF Chairperson and former telecom secretary.

“Apps are an integral part of the digital economy as they empower individuals, businesses, and governments to make informed, data-driven decisions. They are expected to have a positive impact on overall productivity and GDP,” she added.

It is interesting to note that the contribution of the app economy to India’s GDP is higher than that for the EU and the UK for 2021.

Nearly 85 percent of the total digital transactions in India, which include credit and debit cards and internet banking are made through mobile payments.