An increased focus on outsourcing services and career opportunities could help boost India into the third-largest economy in the world.
According to a report by financial services firm Morgan Stanley, opening more jobs and advocating for salary increases in the sector will fuel discretionary consumption spending
Ridham Desai, Morgan Stanley’s Chief Equity Strategist for India, said that in the coming decade, the number of people employed in India for jobs outside the country could grow two-fold, reaching more than 11 million as global spending on outsourcing swells from $180 billion per year to around $500 billion by 2030.
India is also poised to become the “factory to the world” as corporate tax cuts, investment incentives, and infrastructure spending help drive investments in outsourcing to the country.
Chief India Economist Upasana Chachra said, “Multinationals are now buoyant about the prospects of investing in India, and the government is helping their cause by investing in infrastructure as well as supplying land for building factories.”
Morgan Stanley also reported that the sentiment on investment outlook in India is at an all-time high. Aside from offshoring, the country’s manufacturing sector and digital industry are set to bolster India’s economy till 2031.