The World Bank is providing financial support to Manipur in order to promote digital literacy and provide the groundwork for the state’s transition to a digital administration.
The Manipur Infotech eNabled Development Project, which will assist the state in using digital technology holistically to transform its economy and e-service delivery, will get $46 million from the Bank, the bank’s official email stated. The project will cost $67.50 million in total.
According to sources, the Manipur government has already designated IT and IT enabled services (ITeS) as “thrust areas” in its 2017 Industrial and Investment Policy, and Manipur Vision 2030 sets inclusive access to digital technology and its use in education, agriculture, and trade facilitation as key objectives.
Given the difficulties of climate change and its effects on agriculture, the limitations of the conventional growth-supporting sectors, and the physical connectivity constraints in the medium term, the government is especially keen to support the development of the digital economy as one of the few possible pathways to create jobs and enable economic growth.
“The creation of jobs and business activities have been restricted in Manipur. Due to a lack of private investment, poor physical and digital connectivity, and limited industrialization over the past few decades, there has been a geographic isolation. In the NER, the unemployment rate in 2021 was 9.5 percent, which was the second highest. Data from 2012 indicates that while more than 60,000 students are enrolled in graduate and higher education programmes in the state, only 3,000 persons, or 0.1 percent of the entire population, are working in the private, organised sector. Unorganised and public sectors both contribute significantly to employment. Manipur has the largest ratio of migrant outflows to inflows (almost four) in Northeast India as a result of the state’s limited economic opportunities, according to the Bank’s assessment.
It claims that in order to create new sources of investment and employment, the Northeast Region (NER) has launched a number of infrastructure development initiatives as a result of the Centre’s “Act East” programmes. In particular, the Centre has worked to establish Manipur as the “Gateway to the East” of India, and initiatives to increase the country’s rail and telecommunications connectivity are currently under way.
According to the Bank’s assessment, the Manipur administration wants to transform the state into a digital one as a means of promoting inclusivity and economic growth as well as better service delivery. Within the framework of the larger Digital India programme and the Center’s Digital North East Vision 2022, the state aims to expand its digital economy. With “the hope that the state will emerge as an IT Hub of Northeast India,” the Centre has also acknowledged and backed this initiative.
Manipur, according to the Bank, falls short in terms of digital inclusion, the provision of digital services, and the digital economy. There are limitations to digital inclusion, including internet accessibility and digital literacy.
“Due to the slow development of core digital infrastructure and the slow digital transformation of services, the state lags in the use of digital technologies in providing public services. Additionally, due to a lack of skilled workers and the absence of key components of the enabling environment, such as infrastructure, funding, and facilities, the growth of the local digital innovation and entrepreneurship ecosystem is still constrained. As a result, Manipur’s capacity to fully leverage digital technology to improve its economy and e-service delivery is constrained, the report claims.
The project’s first component is called “Digital Industry, Skills and Jobs,” and it has three subcomponents: enhancing access to programmes that help people find jobs and develop their digital skills, supporting digital entrepreneurs, and boosting investments in the sector.
The second element is broadband connectivity, access, and use, which will support legislative and policy initiatives to increase access to reasonably priced internet as well as investments in digital literacy and connectivity infrastructure. It consists of three parts: lowering the cost of deploying internet, encouraging investment in broadband infrastructure, and enhancing digital literacy and access to inexpensive equipment.
The third component is the foundations of digital government, which has three subcomponents: increasing cybersecurity and data sharing, implementing specific digital G2B services, and investing in data infrastructure.
To foster innovation and host events that encourage entrepreneurship, the Manipur government has inked MoUs with Tata Technologies, Kalinga Institute of Industrial Technology, and HCL Techbee. It is establishing a “Special Economic Zone” that will give 15,000–2,000 people job opportunities.