DELHI RED FORT, NEW DELHI March 2021 For updated information, please visit www.ibef.org Table of Contents Executive Summary 3 Introduction 4 Economic Snapshot 9 Physical Infrastructure 15 Social Infrastructure 22 Industrial Infrastructure 25 Key Sectors 28 Key Procedures & Policies 36 Appendix 49 2 Executive summary Strong economic growth . Delhi is one of the fastest growing states of the country. 1 . At current prices, the advance estimate of Gross State Domestic Product of Delhi is Rs 7.98 trillion (US$ 108.33 billion) in 2020-21. Attractive real estate industry . Government focus towards affordable housing is boosting the growth of the real estate sector in the state. 2 . The real estate, ownership of dwelling & professional services contributed ~29.29% to Delhi’s GSVA in 2019-20. Growing tourism industry . Owing to its location, connectivity and rich cultural history, Delhi has always been a prime tourist attraction of the country. 3 . Delhi ranked as the second-best tourist destination in India in 2019. Two new schemes—Delhi Heritage Promotion and Delhi Tourism Circuit—will be introduced to boost tourism. Policy support . The state has set up a single window approval mechanism to facilitate entrepreneurs in obtaining clearance from various departments/agencies for the establishment of industrial enterprises in the National Capital Territory (NCT) of Delhi. 4 . The new Industrial Policy 2010-21 aims to provide a conducive environment for knowledge based and hi-tech IT/ITeS industries in Delhi. Note: GSVA - Gross State Value Added Source: State Budget, Ministry of Tourism, Central Statistics Office, Hotelivate India State Ranking Survey 2017 3 INTRODUCTION 4 Delhi fact file 1,483 sq.km. 12,591 persons per sq km million geographical area 16.8 Population density total population 7.8 million 9 million female population male population Maps of India 86.2% literacy rate 868 Sex ratio 11 administrative (females per 1,000 males) Key Insights districts • Delhi is the capital of India and also a state for administrative purposes. It is one of the largest metropolises in the country. Delhi shares its borders with the states of Uttar Pradesh and Haryana. • Delhi has a cosmopolitan culture with a mix of languages in use. English & Hindi are commonly spoken for everyday transactions. Punjabi, Bihari, Haryanvi, etc., are the other languages used. • Delhi is divided into 33 sub-divisions under 11 districts. The Union Government’s area is managed by the New Delhi Municipal Council (NDMC). • The National Capital Region (NCR) of Delhi includes the neighbouring cities of Gurgaon, Noida, Ghaziabad, Faridabad, Neharpar (Greater Faridabad), Greater Noida, Sonepat, Panipat, Karnal, Rohtak, Bhiwani, Rewari, Baghpat, Meerut, Alwar, Bharatpur and other nearby towns Source: Delhi Economic Survey, Census 2011 5 Advantage: Delhi Attractive avenues Rich skill pool of investment • Delhi has a large skill base; 30% of the workforce is • Delhi has emerged as a key state with qualified for occupations such as engineering, medicine, immense scope for development of the law, and consultancy. service industry such as BFSI, IT and ITeS, • As Delhi is the country’s capital & has ample facility and consulting, among others. support, it attracts skilled & semi-skilled labour from across • It has an attractive real estate market & is a the country. It houses a few of the country's most preferred tourist destination. Many global prestigious institutes such as IIT, IIFT, FMS & AIIMS. corporations have offices in the state. • Among all states, Delhi has the largest share of skilled workforce, making it suitable for knowledge-based economic activities such as IT/ITeS, designing, R&D and financial services. Political and Policy and infrastructure economic hub support • A range of fiscal & policy incentives • As Delhi is the seat of are proposed under the Industrial Central Government, it has Policy for Delhi. an important position in the • Delhi has a well developed social, country in terms of physical and industrial formulation of policies. It infrastructure. It has wide roads, an has also become an international airport & a well important centre of trade developed network of rail & metro and commerce, as a infrastructure. The state has more number of key industry than 100% telecom penetration & associations operate in the high internet penetration. state. The state also hosts several trade conventions & fairs throughout the year. Source: Ministry of Statistics and Programme Implementation, News articles 6 State vision 2030 1 Industry 6 Shelter . Upgradation & modernisation of . Housing for urban poor existing industries. Regularise unauthorised colonies. Recognition & inclusion of new . Optimum utilisation of available industries. resources for housing. Enhancement of ground coverage. 2 Infrastructure 1 6 5 Educational development facilities . Build resilient infrastructure, . Ensure inclusive and equitable quality promote inclusive and sustainable education and promote lifelong learning industrialization and foster opportunities for all innovation. 2 5 . Achieve gender equality and empower . Building regulations for safety of all women and girls structures as per seismic zone. To raise primary and secondary . Land use zoning as per enrolment rates and minimise dropouts microzonation. 3 Health 3 4 4 Water Supply infrastructure And Sanitation . To improve public health and reduce infant mortality and child . Provide safe, qualitatively better and malnutrition affordable potable drinking water to all . Focus on public healthcare . Access to proper hygienic sanitation to institutions all 7 Delhi in figures Delhi’s Contribution to Indian Economy (2019-20) Physical Infrastructure in Delhi GSDP as a percentage of all states’ GSDP GSDP Installed power capacity (MW) (as of January 2021) India: 100.0 | Delhi: 4.09 India: 377,260.67 | Delhi: 7,573.36 GSDP growth rate** (%) Wireless subscribers (million) (as of December 2020) India: 4.2 | Delhi: 7.70 India: 1,153.77 | Delhi: 52.59 Per capita GSDP* (US$) Internet subscribers (million) (as of June 2020) India: 1,355.73 | Delhi: 4,804 India: 749.07 | Delhi: 40.61 National highway length (km) (as of September 2019) Social Indicators India: 132,499.5 | Delhi: 157.1 Literacy rate (%) India: 73.0 | Delhi: 86.2 Airports (No.) Birth rate (per 1,000 population) (2018) India: 125 | Delhi: 2 India: 20 | Delhi: 14.7 Industrial Infrastructure Investments (US$ million) Approved SEZs (as of February 2020) Cumulative FDI equity inflows (From October India: 426 Delhi: 2 2019 to September 2020) (US$ million) India: 51,470 | Delhi: 4,220 Note: GSDP, per capita Advanced estimates GSDP figures are for 2020-21 taken at current prices, Conversion rate: 73.14 1Including part of Uttar Pradesh and Haryana, PPP: Public-Private Partnership, SRS: Sample Registration System, For sources refer to annexure 8 ECONOMIC SNAPSHOT 9 Economic snapshot – GSDP GSDP of Delhi at Current Prices Per Capita GSDP of Delhi at Current Prices 140 9 7,000 450,000 CAGR (in Rs.) 7.70% CAGR (in Rs.) 3.55% 8 120 6,000 400,000 8.56 7 350,000 7.98 100 7.75 5,000 6 427,308 300,000 121.45 6.87 6,062.0 394,216 80 110.87 4,000 5,640.5 108.33 5 5,528.2 106.57 6.16 250,000 356,292 354,004 91.83 5.51 326,005 4,859.2 60 4 4,804.0 200,000 84.14 3,000 4,543.4 297,410 3 150,000 40 2,000 2 100,000 20 1 1,000 50,000 0 0 0 0 2015-16 2016-17 2017-18 2018-19 2019-20 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 AE 2020-21 2020-21 AE 2020-21 US$ billion Rs. trillion US$ Rs. At current prices, the advanced estimate of the Gross State . The state’s per capita advanced estimate of GSDP was Rs. Domestic Product (GSDP) of Delhi is Rs 7.98 trillion (US$ 354,004 (US$ 4,804) in 2020-21. 108.33 billion) in 2020-21. rThe pe capita GSDP (in Rs.) increased at a CAGR of 3.55% . The state’s GSDP (in Rs.) increased at a CAGR of 7.70% between 2015-16 and 2020-21. between 2015-16 and 2020-21. Note: exchange rates used are averages of each year, Source: Government of NCT of Delhi 10 Economic snapshot – NSDP NSDP of Delhi at current prices Per Capita NSDP of Delhi at current prices 120 9 6,000 450,000 CAGR (in Rs.) 7.62% CAGR (in Rs.) 9.49% 8 400,000 100 5,000 7 350,000 7.80 5,521 110.60 80 7.23 6 5,128 7.05 98.07 4,996 96.31 100.81 4,000 300,000 5 389,143 6.21 365,529 4,405 60 83.25 250,000 5.59 4,129 76.46 4 3,000 322,000 5.01 200,000 40 3 295,558 2,000 270,261 150,000 2 20 1 100,000 1,000 0 0 50,000 0 0 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 AE 2020-21 2015-16 2016-17 2017-18 2018-19 2019-20 US$ billion Rs. trillion US$ Rs. At current prices, the advance Net State Domestic Product of . The state’s per capita NSDP was Rs. 3,89,143 (US$ 5,521) in Delhi reached Rs. 7.23 trillion (US$ 98.07 billion) in 2020-21. 2019-20. The state’s NSDP (in Rs.) increased at a CAGR of 7.62% . The per capita NSDP (in Rs.) increased at a CAGR of 9.49% between 2015-16 and 2020-21. between 2015-16 and 2019-20. Note: exchange rates used are averages of each year Source: MOSPI, Government of NCT of Delhi 11 Economic snapshot – % Distribution of GSVA . Commerce & trade contribute more to Delhi’s economy than GSVA composition by sector at current prices manufacturing & agriculture.