Content:

1. Lala Lajpat Rai
2. Future Ready: India’s Digital Economy to Contribute One-Fifth of National Income by 2029-30

Lala Lajpat Rai

Context : Prime Minister pays tributes to Punjab Kesari Lala Lajpat Rai on his birth anniversary.

Relevance : GS 1(Modern History ), GS 4(Ethics ), Facts for Prelims .

Early Life and Education

• Born on 28 January 1865 in Dhudike, Punjab.
• Father: Munshi Radha Krishan Azad, a scholar of Persian and Urdu.
• Mother: Gulab Devi, deeply religious and influenced his early thinking.
• Studied at Government College, Lahore .
• Inspired by Swami Dayananda Saraswati and the Arya Samaj movement.

Role in the Freedom Struggle

• Political Affiliations:
  • Associated with the Indian National Congress (INC).
  • Part of the Lal-Bal-Pal trio (Lala Lajpat Rai, Bal Gangadhar Tilak, and Bipin Chandra Pal) advocating extremist nationalism.
• Protested against partition of Bengal (1905) and promoted Swadeshi.
• Led protests against the Rowlatt Act (1919) and Jallianwala Bagh massacre.
• Founded the Servants of the People Society (1921) to promote social work and national education.

Contribution to Nationalism

• A strong proponent of Swadeshi movement and boycott of foreign goods.
• Advocated for economic self-reliance and indigenous industry development.
• Called for Hindu-Muslim unity.
• Supported education reforms and worked for Dalit upliftment.

Simon Commission Protest (1928)

• Opposed the Simon Commission as it had no Indian members.
• Led a peaceful protest in Lahore against the Commission on 30 October 1928.
• Famous words: “Every blow on my body will prove a nail in the coffin of British rule in India.”
• Died on 17 November 1928 due to injuries sustained due to lathi charge by British police under James A. Scott.
• His death led to Bhagat Singh, Rajguru, and Sukhdev’s revenge killing of J.P. Saunders.

Social Reforms

• Worked to eradicate untouchability and caste discrimination.
• Promoted education among Indians, especially through Dayanand Anglo-Vedic (DAV) institutions.
• Supported women’s education and widow remarriage.

Literary Contributions

• Prolific writer; authored books on history, nationalism, and social issues.
• Key works:
  • “The Story of My Deportation” – Account of his exile to Burma (Myanmar).
  • “Young India” – Critique of British rule.
  • “Unhappy India” – Response to Katherine Mayo’s book Mother India.
  • “England’s Debt to India” – Highlighted India’s contribution to Britain’s economy.

Legacy

• Known as “Punjab Kesari” (Lion of Punjab) for his fearless patriotism.
• Inspired revolutionaries like Bhagat Singh, Chandrashekhar Azad, and Subhas Chandra Bose.
• Several institutions named after him:
  • Lala Lajpat Rai University of Veterinary and Animal Sciences (Haryana).
  • Lala Lajpat Rai Memorial Medical College (Meerut).
  • Lala Lajpat Rai Institute of Engineering & Technology (Punjab).
• Statue at Parliament House, New Delhi honors his contribution.

Quotes by Lala Lajpat Rai

• “The shots that hit me are the last nails to the coffin of British rule in India.”
• “Defeat and failure are sometimes necessary steps of victory.”
• “A person should be courageous and honest in worshiping the truth, without being concerned about receiving worldly benefits.”

Future Ready: India’s Digital Economy to Contribute One-Fifth of National Income by 2029-30

The recent report “State of India’s Digital Economy 2024” highlights that India is the third-largest digitalized economy globally and ranks 12th among G20 nations in terms of individual digitalization.

By 2029-30, the digital economy is projected to contribute nearly one-fifth of India’s national income, surpassing the share of agriculture and manufacturing.

Relevance : GS 3(Digital Economy)

Size and Growth of India’s Digital Economy

• The digital economy contributed 11.74% of GDP (INR 31.64 lakh crore or USD 402 billion) in 2022-23.
• It employed 14.67 million workers, accounting for 2.55% of the workforce.
• The sector is five times more productive than the rest of the economy.
• The digitally enabling industries (ICT services, electronic components, and communication equipment) contributed 7.83% of Gross Value Added (GVA).
• Digital platforms and intermediaries added 2% of GVA, while digitalization of traditional sectors (BFSI, retail, education) contributed another 2% of GVA.
• By 2029-30, the digital economy’s share is projected to grow to 20% of GVA, overtaking agriculture and manufacturing.

Sectoral Impact of Digitalization

• Banking & Financial Services (BFSI):
  • Over 95% of payment transactions are digital.
  • Revenue-generating activities like loans and investments remain largely offline.

• Retail:
  • Increasing adoption of omni-channel models with e-commerce firms opening physical stores.
  • AI-powered inventory management and chatbot-driven customer service are improving efficiency.

• Education:
  • Shift towards hybrid learning models (offline and online integration).

• Hospitality & Logistics:
  • Use of AI, metaverse, and digital management tools in large firms.
  • Smaller enterprises lag behind in digital adoption.

Growth Drivers

• Artificial Intelligence (AI) and Cloud Services: AI-driven solutions are streamlining operations across industries.
• Global Capability Centers (GCCs): India hosts 55% of the world’s GCCs, strengthening its digital workforce.
• Digital Intermediaries & Platforms: Rapid growth expected, with digital platforms anticipated to expand at 30% CAGR.
• Government Initiatives: Programs like Digital India, PM Gati Shakti, and ONDC are enabling seamless integration of technology in various sectors.

Employment Trends and Gender Inclusion

• The digital economy accounts for 2.55% of India’s workforce.
• 58.07% of jobs in the digital economy are in digital-enabling industries.
• Increased opportunities for women: Digital platforms have facilitated female workforce participation in sectors where mobility was a challenge.

Challenges & Road Ahead

Challenges

• Digital Divide: Unequal access to digital resources in rural vs. urban areas.
• Cybersecurity Risks: Rising digital transactions increase vulnerability to cyber threats.
• Skill Gap: Workforce needs upskilling in AI, cloud computing, and cybersecurity.
• Regulatory Challenges: Ensuring a balanced regulatory framework for digital platforms and AI governance.

Future Prospects

• By 2030, India’s digital economy will outpace traditional sectors, contributing one-fifth of the national income.
• Digital transformation in BFSI, retail, education, and logistics will drive economic resilience.
• Focus on AI, cloud services, and GCC expansion will be crucial for sustained growth.