It was Aryabhatta, an Indian astronomer born in 476 AD who provedthe importance of zero in algebraic equations and other mathematicalprocesses. Not in his wildest dreams would he have imagined thatone of the binary numbers he helped establish, would combine withthe other to telling effect, to engineer the digital revolution and changethe way we live.

Aryabhatta had scripted future historyAryabhatta had scripted future historyAryabhatta had scripted future historyAryabhatta had scripted future historyAryabhatta had scripted future history.....

Today, as India moves centrestage in a knowledge and idea drivenglobal economy, the digital future is taking shape where it all began.Indian society has blended its traditions and value systems withmodernity to create a unique work ethos that is spiralling growth.

India today is a mature, vibrant democracy and a robust pillar ofthe world economy. Having gained credibility and strength, India hasscripted many a decisive chapter on its way to becoming the world’ssecond fastest growing economy.

Working steadily on all fronts from education, health, business, science& technology to energy and infrastructure, India has achieved holisticgrowth spanning the entire ‘development’ spectrum. The economicliberalisation programme that began in the 1990s has ushered inglobal integration of the Indian economy and given India’s industrialcompetitiveness a sharper edge.

India today plays a multiplicity of roles on the global stage with equalaplomb. A proponent of peace, a credible voice of the developing world,a partner of the developed world, undisputed technology leader acrossa wide range of products and services, a destination of choice for a largenumber of foreign investors and transnational corporations.

India is scripting success. And future histories.India is scripting success. And future histories.India is scripting success. And future histories.India is scripting success. And future histories.India is scripting success. And future histories.

Scripting Future Histories 1

India consolidates her position as the world’s fourth largest economy ahead of Germany, UK, France & Italy, in purchasing power

VibrantDemocracy

India today has the proud distinction of being the world’s largestdemocracy. A remarkable Constitution, well-developed democraticinstitutions and true participation by the people in social governanceare the hallmarks of this democracy. Faith in the democratic processis nurtured as well as protected by an independent judiciary, an alertand free media and active non-governmental organisations.The symbols of a vibrant democracy are all around us.

A functioning democracy is one where every individual is able to findhis place in society, seek his rights and pursue a vocation in tune withhis abilities. India’s multi-party democracy is the successfulembodiment of this very process. India has held freely contestedelections at regular intervals since independence. The scale of theelectoral process is immense: 620 million voters requiring 4.5 millionelection officials. While ballot boxes have to be transported on elephant-back to some remote rural areas, other places have Electronic VotingMachines as welcome innovations. The strength of India’s democratictraditions was shown once again by the people of Jammu & Kashmir inOctober 2002, when 44% of the voters came forth and exercised theirchoice at the hustings despite the terrorist threat.

parity (PPP) 11100101001101 01 0 0001010 101010011101100101001010011 India turns creditor from debtor…selected as a member of

Vibrant Democracy 3

What also makes India a vibrant democracy is the assimilative natureof its society. Age old traditions have dovetailed with the modernconcept of democracy. Outsiders have been welcomed, culturalinfluences seen as enriching; proactive inclusiveness has ledto the development of a successful democracy in modern India.

A melting pot of cultures, India is home to people of all major faithsof the world. Secularism is not only a way of life – it is a philosophyembedded in India’s history. Diversity abounds – in geography as wellas in culture. In this land of mighty mountains and spectacular desertswashed by the waters of three oceans, a billion people live together -people who speak 18 major languages, worship different Gods andcelebrate different festivals. They also celebrate unity and their uniqueIndianness.

the IMF’s Financial Transaction Plan for the first time1110101001001010 01010011101010011101100 Foreign exchange reserves rise to

The second fastest growing economy in the world and fourth largest interms of Purchasing Power Parity (PPP), the Indian economy is on a highgrowth trajectory. In a stable political and macro-economic environment,marked by forward looking policies aimed at global integration, the GDPis expected to grow between 6.5% and 7% in 2003-04.

The 400 million strong Indian middle class with its ever increasingpurchasing power is driving demand, competition and productivitylike never before. Ongoing expansion and modernisation in Indianmanufacturing is fueling demand for imports of capital goods andtechnology. The educated, skilled Indian work force has engineereda remarkable change in the sectoral composition of the GDP withservices now accounting for almost half of India’s GDP.

India’s increased global competitiveness can be attributed to continuingprogressive economic reforms.

Regulatory MechanismsRegulatory MechanismsRegulatory MechanismsRegulatory MechanismsRegulatory MechanismsLegislation has established regulators in high investment sectors likeinsurance, telecommunications and capital markets enhancingpublic and investor confidence.

Consumer FinanceConsumer FinanceConsumer FinanceConsumer FinanceConsumer FinanceAccess to finance on easy and affordable terms has whetted the appetiteof the Indian consumer and also propelled growth across sectors likehousing, automobiles and consumer durables.

Economy &Industry

Source: RBI

US$ 86 billion…more than Germany, France, Russia and USA 101010011101100101001010100111010100111011 India’s exports cross

FFFFForeign Toreign Toreign Toreign Toreign TraderaderaderaderadeThe total volume of foreign trade crossed US$ 111 billion in 2002-03.Exports have responded well to the establishment of a large numberof Special Economic Zones (SEZs) with world class infrastructure andattractive tax incentives and stood at 10.4% of the GDP in March 2003.

FFFFForeign Exchange Reservesoreign Exchange Reservesoreign Exchange Reservesoreign Exchange Reservesoreign Exchange ReservesIndia’s foreign exchange reserves are over US$ 86 billion and exceedthe forex reserves of USA, France, Russia and Germany.

External DebtExternal DebtExternal DebtExternal DebtExternal DebtIndia’s external debt to GDP ratio has improved consistently and stoodat 20% in March 2003 - one of the lowest among developing economies.

FFFFForeign Investmentoreign Investmentoreign Investmentoreign Investmentoreign InvestmentRated as the 7th most attractive destination for FDI in the world in 2001,India’s cumulative foreign investment flows since 1991 have exceededUS$ 50 billion.

Controlled InflationControlled InflationControlled InflationControlled InflationControlled InflationThe Indian economy has consistently managed to keep inflation levelsunder control and the average annual inflation rate was 3.4% in 2002-03.

“The three guiding objectives of economic reforms are :speedy eradication of poverty, creation of large scaleopportunities for productive employment and self-employmentand removal of regional and social imbalances in development.”

- Atal Bihari Vajpayee, Prime Minister of India

Economy & Industry 5

Source: RBI

Source: RBI

US$ 50 billion mark 10100111010101010100111101100 AT Kearney ranks India highest in an index of country attractiveness for off

AgricultureAgricultureAgricultureAgricultureAgricultureIndia is one of the world’s largest food producers with an annualproduction of 600 million tonnes. India ranks first in the world inproduction of milk, tea and sugarcane. It is the second largest producerof fruits, vegetables, rice, wheat and groundnuts and is among the topfive producers of coffee, spices, cereals and oilseeds.

By far the most richly endowed nation in Asia, India has a tenth of theworld’s arable land. As the planet’s most irrigated land mass, India iscurrently initiating a massive infrastructure project to further boostagricultural performance through the inter-linking of all major Indian rivers.

A new Food Chain Revolution that aims to double the average income ofthe Indian farmer by 2010 is currently underway in the country and hasalready resulted in the following:

• Buffer stock of foodgrains (wheat and rice) of nearly 50 million tones.

• Nearly 14.2 % share of agriculture in total exports.

• World’s second largest exports of rice and fifth largest exports of wheat.

• Introduction of futures trading in edible oil and foodgrains.

FFFFFood Processingood Processingood Processingood Processingood ProcessingRepresenting 6.3 % of the GDP, the food processing industry ranks5th in size and accounts for 13% of the country’s exports and 6% oftotal industrial production. Industry size is estimated at US$ 70 billion,including US$ 22 billion of value added products.

The food processing sector continues to remain a major investmentattraction for global giants of the industry.

Source: RBISource: RBI

External DebtExternal DebtExternal DebtExternal DebtExternal Debt /GDP Ratio/GDP Ratio/GDP Ratio/GDP Ratio/GDP RatioIndia :India :India :India :India : A A A A Averaveraveraveraveraggggge Anne Anne Anne Anne AnnualualualualualRate of InflationRate of InflationRate of InflationRate of InflationRate of Inflation

shoring IT outsourcing among 11 countries 1101010011110101001110111010100010100 Government puts Foreign Direct Investment

TTTTTowards Wowards Wowards Wowards Wowards World Class Infrastructureorld Class Infrastructureorld Class Infrastructureorld Class Infrastructureorld Class InfrastructureRoads & HighwaysRoads & HighwaysRoads & HighwaysRoads & HighwaysRoads & HighwaysWith a total length of approximately 3.3 million km, India hasthe second largest road network in the world.

India is currently implementing the world’s largest infrastructure project -the National Highway Development Programme (NHDP).

A major part of the NHDP, the Golden Quadrilateral (GQ) is running aheadof schedule and is expected to be complete by December 2004. It entailsupgrading and 6-laning of 6000 km of highways connecting the four majormetropolitan cities of Delhi, Mumbai, Chennai and Kolkata.

In addition, 7000 km of highways connecting the North-South (fromSrinagar to Kanyakumari) and East-West (from Silchar to Porbandar)corridors are being developed.

To provide a continued impetus to development of roads and highways,the government has undertaken several policy initiatives, including:

• FDI up to 100% under automatic route in projects for constructionand maintenance of roads, highways, vehicular bridges and toll roads.

• Private sector participation in this sector is under the Build, Operateand Transfer (BOT) concept.

• National Highway Act amended for expeditious land acquisitionand project clearances.

Economy & Industry 7

Golden Quadrilateral Project

By year Completion Cumulative %(in km) of total length

Dec 03 2314 39.58

Dec 04 4918 85.00

Jun 05 5666 96.92

Dec 05 5846 100.00

Source: NHAI

Source: RBI

on fast track… 101001110101001110100111011001110 World Development Indicators 2003 released by the World Bank ranks India’s

PortsPortsPortsPortsPortsWith a view to provide port facilities of global standards to our tradingpartners and enhance connectivity, considerable private investmenthas been attracted. A quick run down on facts and initiatives for growth:

• India currently has 12 major ports and 184 minor or intermediate portsspread across the 7517 km coastline.

• The current handling capacity of major ports in the country is around350 million tonnes. This has been achieved through the construction ofa new port at Ennore and a mechanized coal handling facility atParadip. These facilities entailed an investment of US$ 394 million.

• 100 % foreign investment has been permitted for construction andmaintenance of ports and harbours and in projects providing supportservices to water transport.

• The government is offering various fiscal incentives to private investorsincluding a 10 year tax holiday in port development, operation andmaintenance.

TTTTTelecommunicationselecommunicationselecommunicationselecommunicationselecommunicationsIndia ranks among the top ten countries in the world in terms of itstelecommunications network, and is one of the most deregulated telecommarkets in the world.

India has more than 41 million fixed telephone connections, growing at22 % per annum and over 17 million cellular phone connections, growingat a million new connections per month!

Source: RBI Source: RBI

* EstimatedSource : CII

services sector among World’s Top 5… India’s services sector clocked an average 7.9% per annum growth between 1990 and 2001

The telecom network in the country comprises over 35,000 exchangeswith a switching capacity of over 47 million, 427 digital trunk automaticexchanges and over 326,271 route km of optic fibre network.

The government has significantly relaxed foreign investment normsin this sector. Foreign equity participation of up to 100% is permitted forISPs and manufacturers of telecom equipment, while 74% is permitted inInternet services and up to 49% in telecom services.

Private investments, both foreign and domestic, have been in excess ofUS$ 2.4 billion. Other initiatives pushing growth in the sector include:

• Introduction of Internet telephony.

• Reduction of over 60% in the tariff for National Long Distance Telephonyto push volumes.

• Facilitating growth of Public Calling Booths that continue to mushroomacross the country, increasing access and boosting employment.

PowerPowerPowerPowerPowerIndia is the sixth largest power generator in the world. Economic reformsare being increasingly introduced at the State level in the power sectorwhich is evolving rapidly from focusing on power generation to providing astrong impetus to distribution and transmission.With grants for 57 private sector projects totalling up to 30, 000 MW,introduction of an independent central regulatory authority and foreigninvestment opportunities totalling nearly US$ 73 billion, the power sectorwill continue to be a thrust area for reforms.

Economy & Industry 9

Source : www.nasscom.org

beating the global rate of 3.1% 10100111010100010100010100 Indian subsidiaries of major MNCs - ABB, Nestle, LG, Samsung, Philips,

• Major investors include CMS Energy, Unocal, Woodside Petroleum,Siemens, ABB, AES Transpower, Powergen, CLP, PSEG, Tractabel.

• 18,000 MW of new generation capacity and 35,000 ckm of H.T.transmission lines have been added.

• Over 3712 MW of power generating capacity using renewable energysources has been installed.

Competitiveness in ManufacturingCompetitiveness in ManufacturingCompetitiveness in ManufacturingCompetitiveness in ManufacturingCompetitiveness in ManufacturingIndia has a two-fold advantage that has been increasing its competitivenessin manufacturing - availability of quality talent and low costs.

• A McKinsey study quotes from the IMD World Competitiveness Yearbook2001 that India has the highest availability of qualified engineers.

• The same study says that compensation for manufacturing workersis US$ 0.6 per hour in India compared to over US$ 20 per hourin countries like Germany and Japan and even lower than in Brazil,Mexico and the Czech Republic.

The Automobiles & Auto Ancillary and Pharmaceuticals sectors areat the forefront of this new wave of manufacturing competitiveness.

Automobiles & Auto AncillaryAutomobiles & Auto AncillaryAutomobiles & Auto AncillaryAutomobiles & Auto AncillaryAutomobiles & Auto Ancillary• Global auto companies have begun to use India as a sourcing base

for fully built vehicles.

• Hyundai has nominated India as the global sourcing base for itssmall cars.

• Ford exports more cars from India than it sells in the domestic market;and exports components to China from its India facility.

• Suzuki exports aggressively from India. In 2002, exports jumped by180% to over 30,000 cars.

••••• Auto Policy announced by the government in 2002 has opened theautomobile sector to 100% FDI and removed the minimum capitalinvestment norm for fresh entrants.

• Total auto ancillary exports have risen from US$ 330 million in 1997-98to an estimated US$ 800 million in 2003.

• The sector has grown by 20% annually over the past half-decade asToyota, Delphi, Visteon and others have set up operations.

PharmaceuticalsPharmaceuticalsPharmaceuticalsPharmaceuticalsPharmaceuticals• Growth over the last five years has been more than 20%, twice the world

rate; India’s pharma exports stood at US$ 2.5 billion in 2002-2003.

••••• The Indian pharma industry has the highest number of plants approvedby the FDA outside the USA. It also has the largest number of DMFsfiled which gives it access to the high growth generic bulk drugs marketinthe USA.

••••• Generic drug manufacturing will be the main growth driver in the future –the world market is expected to exceed US$ 55 billion by 2005. India isgearing itself to capture a large portion of this market, leveraging itsinherent skills in technology, R&D facilities and trained human capital.

• In accordance with WTO stipulations, India will grant product patentrecognition to all New Chemical Entities from 2005.

• To facilitate the sector’s growth, the government announced exemptionsfrom import licences to foreign pharmaceutical units setting up theirmanufacturing units in Special Economic Zones.

Economy & Industry 11

Goodyear, Pfizer, Whirlpool, Siemens - beat their global headquarters in performance scales as India emerges as the growth engine for MNCs 0100010100111000101001110101000101 Government introduces series of tax breaks for Special Economic Zones including

Emerging Knowledge LeaderEmerging Knowledge LeaderEmerging Knowledge LeaderEmerging Knowledge LeaderEmerging Knowledge LeaderWell developed technical and tertiary education infrastructure, a largeEnglish speaking work force and a strong demographic advantage placesIndia in a unique position to leverage opportunities in a knowledge driveneconomy.

Information TInformation TInformation TInformation TInformation TechnologyechnologyechnologyechnologyechnologyThe Prime Minister’s National Task Force on Information Technologyconstituted in 1998 has propelled the speedy development of this sector.

• Exports of software services logged in a 26% growth during 2002-03;along with electronics hardware exports, this sector accounted for18% of India’s total exports.

• India is home to 42 SEI CMM Level 5 companies of the world,which is more than half of the world total.

• Information Technology Act 2000 seeks to create key infrastructure forelectronic authentication and a legal framework for prevention of cybercrimes. India will soon become the 3rd country after the USA andAustralia to have a Convergence Act.

• Software Technology Parks of India act as a ‘single-window’ inproviding services to software exporters and incubation infrastructure toSMEs.

IT enabled Services (ITIT enabled Services (ITIT enabled Services (ITIT enabled Services (ITIT enabled Services (ITeS)eS)eS)eS)eS)According to a Nasscom – Mckinsey study, the ITeS segment is expectedto grow from US$ 1.5 billion (year 2001-02) to US$ 17 billion (year 2008).

100% income tax exemption for overseas banking units for three years 10100111010100010100111010100111001010 SEBI Act amended

India offers a strong value proposition in the ITeS segment for the followingreasons:

• A vast pool of English speaking and skilled manpower, which rateshigh on qualification, capabilities, quality of work and work ethics.

• World class telecommunications and physical infrastructure thatis fast approaching parity with other countries.

• Traditionally strong emphasis on quality.

• Certain centres have outscored most international competitorsin productivity levels.

• Unique geographical location enables 24x7 service.

ITeS exports from India grew 44% during 2002-03 to touch US$ 2.16 billion;these are likely to grow at 50% in 2003-04 to touch US$ 3.24 billion.190 Fortune 500 companies outsource IT to India.

According to PricewaterhouseCoopers, India will emerge as the biggest‘call centre market’, overtaking Australia by 2004.

BiotechnologyBiotechnologyBiotechnologyBiotechnologyBiotechnologyIndia enjoys significant comparative advantages in this fast emergingsector in terms of knowledge, skills, R&D facilities, costs and institutionalinfrastructure. The Indian biotechnology market is expected to grow toUS$ 204 million by 2003 and US$ 408 million by 2007 due to the following:

• A separate Biotechnology Policy for States.

• 50 R&D labs in the public sector, providing high quality R&D.Over 20 are conducting research in specific areas of biotechnology.

• Establishment of various biotechnology parks in different states.

• Investment opportunities of US$ 500 million during 2003, spread acrossAgri-Biotech, Diagnostics and Vaccines.

Economy & Industry 13

Source: NASSCOM

to strengthen capital market regulation…regulators introduced in Telecom, Insurance & Electricity sectors 101010100010100111

• Indian Bioinformatics companies can look forward to garnering a largechunk of the US$ 2 billion world market for bioinformatics servicessuch as data mining, mapping and DNA sequencing, functionalgenomics, proteonics and molecule design simulation.

Science & TScience & TScience & TScience & TScience & TechnologyechnologyechnologyechnologyechnologyIn 2002, the Council of Scientific and Industrial Research (CSIR) won 145US patents and topped the Patent Co-operation Treaty listing of the top50 entities in the developing world. As India emerges as a globallycompetitive powerhouse, Science & Technology will continue to providethe foundation on which the 21st century nation is built.

Atomic EnergyAtomic EnergyAtomic EnergyAtomic EnergyAtomic EnergyMulti-disciplinary research in centres of excellence under the Departmentof Atomic Energy has led to the development of the nuclear powerprogramme and applications in agriculture, medicine, biotechnology,electronics and metallurgy.Currently eight nuclear stations are producing 8 billion kilowatt ofelectricity. Four more nuclear stations designed in India are in thepipeline.

SpaceSpaceSpaceSpaceSpaceIndia is among a select select group of six nations with specific satellitelaunch capabilities and is at the forefront of nations bringing the benefitsof space technology to development.

• The Indian Space Research Organisation (ISRO) recently launched thecountry’s third “remote sensory” satellite and its first one dedicated purelyto geographical mapping. It will join the 11 Indian satellites already in orbit.

0101001010011101010001010 Council of Scientific & Industrial Research (CSIR) emerges as a globally competitive powerhouse by

• Fishermen in Kerala, cotton farmers in Andhra Pradesh and flowersellers in Maharashtra all put satellite data to daily use.

• More than 100,000 villages around India owe their drinking waterto high resolution geological images snapped from outer space.

• Malaysia and Thailand have placed orders with ISRO for themanufacture and launch of remote sensing satellites.

• ISRO has also constructed satellite data reception centres in SouthKorea, Myanmar and Thailand. More are planned for Africa and LatinAmerica.

• India has two satellite launch vehicles - Polar Satellite Launch Vehicle,PSLV, for launching 1300 kg class remote sensing satellites andGeo-synchronous Satellite Launch Vehicle, GSLV for launching 2000 kgclass communication satellites. Prime Minister Vajpayee recentlyannounced an unmanned mission to the Moon by 2008 - Chandrayan I.

Collaborative R&DCollaborative R&DCollaborative R&DCollaborative R&DCollaborative R&DOver 250 universities, 1500 research institutions and over 10,000higher education centres churn out 200,000 engineers and 300,000non-engineering post graduates every year. In addition, there isan annual increment of 5000 Ph.Ds and 21,00,000 other graduates.All trained not to just speak in English but also think in English.

Over the past few years, more than 100 MNCs have set up R&D centresin India at a cumulative investment of over US$ 1 billion. GE has its biggesttechnology centre outside the United States in Bangalore. Among otherleading companies who have set up R&D centres in India are Bell Labs,Cummins, DuPont, Daimler Chrysler, Eli Lilly, General Motors, HewlettPackard, Intel, Honeywell, Qualcomm and Whirlpool.

Economy & Industry 15

winning 145 US patents and topping the list of 50 entities in the developing world 101001110101000101001110100111 0101 Freedom

In India, the government has been very conscious of its duties towards allsections of society and has tailored programmes to ensure that benefitsof economic growth are distributed equitably within the parameters ofsustainable development.

Poverty Alleviation and Employment GenerationPoverty Alleviation and Employment GenerationPoverty Alleviation and Employment GenerationPoverty Alleviation and Employment GenerationPoverty Alleviation and Employment GenerationThe government runs many programmes to generate additionalemployment, create productive assets, impart technical andentrepreneurial skills and raise income levels of the poor.

Hugely successful efforts have been launched in rural as well asurban areas to give employment not only to the educated unemployedbut also to the uneducated. The government has also created a SpecialGroup with a mandate to help create ten million additional jobs overthe tenth five year plan period.

KKKKKey Initiativesey Initiativesey Initiativesey Initiativesey Initiatives••••• Self-employment programme for the rural poor.

• Rural employment programme in infrastructure projectsthrough funds released to village level local bodies.

• National Social Assistance Programme that ensures a minimumnational standard of social assistance to poor households comprisesof the National Old Age Pension Scheme, the National Family BenefitScheme and the National Maternity Benefit Scheme.

SocialDevelopment

of Information Bill receives Parliamentary assent….Fast Track Courts set up across the country to speed up the judicial process

• Employment Assurance Scheme focused on promoting wageemployment in areas that reflect major labour exodus.

• Area Development Programmes targeted at income generationamong the poor living in wastelands and degraded lands.

WWWWWomen Empowermentomen Empowermentomen Empowermentomen Empowermentomen EmpowermentIndia has set high standards for female representation in the policy anddecision making process. One third of the seats in local bodies - villagepanchayats, municipalities, city corporations and district bodies arereserved for women.

The year 2001 was observed as Women’s Empowerment Year to createlarge-scale awareness about women’s rights and issues.

• The co-operative milk movement in various states of the country underOperation White Flood bears testimony to the potential and success

of women empowerment initiatives in the country.

• The National Women’s Fund has been established to provide creditfacilities to promote micro-enterprises among women.

• Various organisations have been mobilised to promote womenempowerment through ‘Self-Help Groups’ and imparting distanceeducation at the level of grassroots workers.

• The National Commission for Women is at the forefront of reviewingall laws that govern gender sensitive issues.

Social Development 17

1001001111001001110100100111010 India hosts 8th Conference of the Parties to the United Nations Framework Convention on Climate

• The National Institute of Public Co-operation and Child Developmentconducts gender-sensitisation programmes for law enforcers andpolicy makers.

Education & LiteracyEducation & LiteracyEducation & LiteracyEducation & LiteracyEducation & LiteracyEducation is the most critical input for the development of human capitaland India’s education infrastructure is widely regarded as one of the bestin the world.

• Frequently launched broad-based programmes have ensured thatthe overall literacy rate has gone up to 65.4 %.

• Sarva Shiksha Abhiyan, India’s largest ever educational programme,was launched in November 2000 to achieve the goal of universalisationof elementary education.

• Active advocacy has also ensured dramatic increases in primaryschool enrolments with nearly 81% of the population between 6-14years of age attending school.

• Adult Education Programmes have reached out to 587 out of the 599districts of the country, in an attempt to help those who got left behind.

• The Total Literacy Campaign, which is the major component of theprogramme for universal adult literacy, is operational in 338 districts,spread across the country. About five million volunteers are engaged inteaching the alphabet to about 50 million people in the 9-45 age group.It is estimated that 15 million of them have become functionally literate.

Change (COP-8) 10011101 Delhi Declaration adopted linking climate change and sustainable development 1010100011011001111

Social Development 19

• Post-Literacy and continuing education programmes are also beinglaunched. The objective is to make an additional 100 million peopleliterate. Special attention is being paid to the low-literacy andhigh-population states.

HealthcareHealthcareHealthcareHealthcareHealthcareThe Indian healthcare industry is estimated at US$ 20 billion.The liberalization of the insurance sector has given it a further fillip.The government is also providing greater encouragement toprivate sector participation in secondary and tertiary healthcare.Life Expectancy at Birth has gone up significantly:Males - 63.9 years; Females - 66.9 years.Several policies & programmes have been introduced to enhancethe quality and quantity of healthcare facilities across the country:

• A National AIDS Policy has been formulated with a target of achievingzero level of infections by 2007.

• A National Health Policy has been approved and aims at raising healthcare expenditure to 6% of the GDP by 2010.

• The Safe Motherhood Programme launched by the Prime Ministerin 1998 has ensured dramatic improvements in maternal and infantmortality rates.

• A Universal Health Insurance Scheme for the poor has been launched.

1000110011101010001 Mobile telephony introduced in J&K with a record number of subscriptions being issued daily

Environment ProtectionEnvironment ProtectionEnvironment ProtectionEnvironment ProtectionEnvironment ProtectionThe government has taken a number of steps to ensure that rapideconomic development does not take a heavy toll on the environmentand globally accepted standards of sustainability and protection aremaintained:

• Plan outlay for afforestation doubled. People’s participation beingpromoted through Joint Forest Management initiatives. Launch ofthe National Green Corps with the setting up of Eco Clubs in 100schools in each district.

• Accession to the Kyoto Protocol, reaffirming commitment tostrengthening efforts to tackle global warming.

• Measures to control vehicular pollution in major cities; adoption ofalternative fuels like CNG in public transport has ensured ambient airquality to citizens.

• A National Action Plan for Conservation of Wildlife aimed at controllingpoaching and illicit trade in wildlife products and safeguarding theinterests of the poor and tribals living in the proximity of protectedareas.

1001100111010100010011101010001 Prime Minister Vajpayee announces Chandrayan I - Mission to the Moon by 2008