India is quickly becoming a world leader in services exports, boasting an impressive compound annual growth rate of 14.8%. This growth significantly surpasses that of goods exports, which increased by 9.8%, as reported by officials from the National Stock Exchange (NSE).
The NSE emphasized that this economic transformation is fueled by strong growth in the services sector, comprehensive structural reforms, and India’s favorable demographic profile.
Tirthankar Patnaik, the chief economist at NSE, remarked, “India will mirror China’s role in manufacturing, but for services. It is truly emerging as a global hub for services exports.”
Over the last three decades, India’s services exports have consistently grown at a CAGR of 14.8%, far exceeding the 9.8% growth seen in goods exports. This data was shared during a presentation to a media delegation from Jammu and Kashmir.
With a significant 4.3% share of the global services export market, India now holds the seventh position worldwide. This dominance is primarily driven by strong performances in telecom, IT, and business services, which collectively account for nearly three-quarters of the country’s total service exports. Notably, technology exports alone surpassed $200 billion in the financial year 2025.
Furthermore, India has become the world’s leading center for Global Capability Centers (GCCs). The number of GCCs has surged from 1,430 in FY19 to 1,700 in FY24 and is expected to reach 2,200 by FY30, creating employment for an estimated 2.6 million professionals.
The market size for GCCs is projected to grow substantially, from $40 billion in FY19 to $100 billion by FY30. This growth is underpinned by crucial structural and economic reforms such as the Goods and Services Tax (GST), the Insolvency and Bankruptcy Code, the Real Estate Regulation Act (RERA), and strategic corporate tax reductions.
Officials also pointed out that liberalization efforts, including faceless tax assessments, simplified labor laws, and performance-linked incentive schemes, have significantly boosted investor confidence. Additionally, privatization and globalization initiatives, such as bank mergers, new foreign trade agreements, increased Foreign Direct Investment (FDI), and the international expansion of UPI, have further solidified the economy’s strength.
Regarding social empowerment, major reforms have dramatically improved daily life for many Indians. These include over 100 million LPG connections under the Ujjwala Yojana, more than 120 million toilets constructed through the Swachh Bharat Mission, and widespread financial inclusion achieved by the Jan Dhan Yojana.
India is firmly on track to become a $5-trillion economy within the next few years, driven by its strong service exports, a vibrant and growing workforce, and increasing engagement in capital markets.
Projections indicate India’s real GDP growth will range between 6.3% and 6.8%, with nominal growth expected to be around 12%. At this accelerated rate, NSE data suggests India will emerge as the world’s third-largest economy by 2027, surpassing both Japan and Germany.
The exchange has put forth a comprehensive growth strategy focusing on boosting private investment, empowering Micro, Small, and Medium Enterprises (MSMEs), narrowing the gap between education and employment, and fostering green financing and agricultural development. The NSE official concluded by stating, “NSE’s analysis unequivocally confirms India’s evolution into a formidable services-driven powerhouse.”