India’s innovation journey continues to rise, with the country securing the 39th rank in the Global Innovation Index (GII) 2024, a jump from its 40th rank last year. This advancement reflects India’s strong focus on innovation-driven social and economic growth, making it a key player among the world’s most innovative economies.

India’s Rise in Innovation

The Global Innovation Index is published annually by the World Intellectual Property Organization (WIPO) and ranks economies based on their innovative capabilities. In the 2024 edition, India has again proven its growing potential by leading the rankings in the Central and Southern Asia region, followed by Iran and Kazakhstan.

This improvement further underscores India’s commitment to fostering a robust innovation ecosystem. The Commerce and Industry Minister Mr. Piyush Goyal acknowledged this achievement, crediting Indian innovators and entrepreneurs for their pivotal role in enhancing the country’s global stature.

Global Innovation Leaders

The GII rankings serve as a barometer for countries to evaluate their progress in innovation and its contribution to social and economic transformation. Switzerland, Sweden, the United States, Singapore, and the United Kingdom have retained their positions as the world’s most innovative economies, setting high benchmarks for innovation-led growth. Notably, India, alongside China, Turkiye, Vietnam, and the Philippines, is among the fastest climbers in the GII over the past decade, reflecting its steady rise in global innovation.

Key Factors Behind India’s Success

India’s leap to the 39th rank in the Global Innovation Index 2024 can be attributed to multiple factors, notably its performance in ICT services exports, venture capital funding, and the creation of unicorn companies. India has claimed the top global position in ICT services exports, a crucial indicator of its tech-driven economy. The country is also ranked 8th in the world for unicorn companies, which further solidifies its position as a leader in the startup ecosystem.

India’s thriving venture capital environment and intangible asset intensity have played significant roles in this upward trajectory. The global demand for ICT services has helped India maintain a competitive edge, positioning itself as a global leader in digital technology services.

Additionally, India’s startup ecosystem continues to grow at an unprecedented rate, with numerous startups gaining unicorn status (companies valued at over $1 billion). This has been a crucial driver for India’s innovation rankings over the past decade. The growth in venture capital funding has enabled startups to scale rapidly and contribute significantly to the country’s economy.

Regional Leadership in Innovation

In the Central and Southern Asia region, India continues to dominate the innovation landscape. The country’s regional leadership in innovation is a testament to the collaborative efforts of the government, private sector, and academia. Through policy initiatives, India has created a fertile environment for entrepreneurs and startups to thrive.

The National Innovation and Startup Policy and programs like Startup India have been instrumental in nurturing a vibrant innovation ecosystem. These initiatives provide the necessary support for startups, including access to funding, mentorship, and incubation programs. This focus on innovation-led growth is helping India strengthen its position in global rankings.

Continuous Overperformance in Innovation

What sets India apart in the Global Innovation Index is its ability to consistently overperform in innovation. For 14 consecutive years, India has outperformed other countries in its income group in terms of innovation capacity. This sustained overperformance highlights the resilience and dynamism of India’s innovation ecosystem.

India’s improvement in global rankings reflects not only its success in traditional sectors like IT and services but also its emergence in new and disruptive industries. From biotechnology to renewable energy, Indian innovators are exploring cutting-edge technologies to address global challenges.

The growth in innovation has also created new job opportunities, contributing to economic growth and social development. By fostering an environment where innovation thrives, India is ensuring that its young and talented population can contribute to economic transformation.

As India continues its upward trajectory in the Global Innovation Index, it serves as a beacon of innovation for developing economies. The country’s focus on fostering a culture of entrepreneurship, innovation, and technology-driven growth is setting it up for even greater success in the future.

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India’s ascent in the Global Innovation Index not only underscores its strength as a global player in innovation but also positions it to lead the way in creating solutions that address global challenges. As the country continues to invest in its innovation capabilities, the future looks promising for Indian entrepreneurs, innovators, and startups.