The Union Cabinet on Wednesday approved a dedicated fund of Rs 5,000 crore to promote 12 key service sectors, including information technology & information technology enabled Services (IT & ITeS), tourism and hospitality, medical travel and transport and logistics services. These services will be made more competitive and export oriented.
The sectors have been named as champion sectors and also include accounting and finance services, audio visual services, Legal services, communication, construction and related engineering services, environmental, financial services and education services.
This initiative will enhance the competitiveness of India’s service sectors through the implementation of focused and monitored Action Plans, thereby promoting GDP growth, creating more jobs and promoting exports to global markets, an official statement said after the Cabinet meeting chaired by Prime Minister Narendra Modi.
The cabinet also approved an action plan for these sectors which will be taken forward by the respective ministries.
As the services sector contributes significantly to India’s GDP, exports and job creation, increased productivity and competitiveness of the champion services sectors will further boost exports of various services from India.
Embedded services are substantial part of ‘Goods’ as well. Thus, competitive services sector will add
to the competitiveness of the manufacturing sector as well, Commerce and Industry Minister Suresh Prabhu told reporters. (With DH)
