NITI Aayog has released a report assessing India’s regulatory framework for professional services and benchmarking it against select foreign jurisdictions, with the aim of identifying challenges and policy measures to strengthen the sector and unlock the potential of India’s skilled workforce.
The report, titled “India’s Services Sector: Insights on Regulatory Regime in Professional Services”, was launched on August 10 by NITI Aayog Vice Chairman Ashok Kumar Lahiri at a meeting of the High-Powered ‘Education to Employment and Enterprise’ Standing Committee.
NITI Aayog CEO Nidhi Chhibber and Ministry of Statistics and Programme Implementation (MoSPI) Secretary Saurabh Garg were also present at the launch. Senior officials from central and state governments, industry associations, academia and other stakeholder groups attended the event.
The report is the third publication under NITI Aayog’s Services Thematic Series and provides a factual assessment of the regulatory environment governing professional services in India. It draws on consultations with stakeholders and examines sector-specific challenges while outlining possible measures to improve the efficiency and competitiveness of the sector.
Professional services account for nearly one-fourth of India’s total services exports, according to the report. As knowledge-intensive, high-value activities, professional services contribute to downstream services, employment generation and remittance inflows, while playing a significant role in the broader services value chain.
The report emphasises that a better understanding of the regulatory ecosystem is essential for unlocking further growth in professional services and strengthening India’s position in global markets.
Four-pronged strategy proposed
The report outlines a four-pronged strategy to improve the efficiency and output of India’s professional services sector.
The strategy includes harnessing emerging trends to transform professional services, elevating professional services within the wider services value chain, adopting global best practices, and promoting continuous professional development.
NITI Aayog said professional services could create significant opportunities for high-skilled employment, entrepreneurship and innovation as India moves towards its demographic peak.
A well-designed regulatory framework, the report noted, can support the expansion of services exports, facilitate cross-border mobility of professionals and improve the ease of doing business.
The report is intended to serve as an indicative roadmap for future policy discussions and more detailed examination of the regulatory foundations of professional services.
NITI Aayog said strengthening the professional services ecosystem would be important for building a globally competitive, inclusive and future-ready services sector as India works towards the goal of Viksit Bharat @2047.
