According to a study based on internet-enabled consumption patterns by individuals and governments, McKinsey finds that the internet contributes more to GDP than , and several other traditional sectors do in many countries.
In India , the internet contributed 5% to GDP growth in the past 5 years compared with the average 3% for BRIC economies. India beats China in internet contribution to GDP.
Two billion people are now connected to the internet, and this number is growing by 200 million each year.
How internet contributes to growth:
- Companies are able to keep costs down.
- Target customers bring better goods and services to markets around the world much more easily.
- Individuals are able to compare prices, search for batter items or information, communicate and learn in new, improved ways.
- Governments can serve citizens very quickly and at a much lower cost through e-governance.
Internet GDP Growth is shown below: