US-Educated Entrepreneurs: A Catalyst for Indo-US Trade and Investment Growth

US-educated Entrepreneurs: The Engine Behind Growth

US-educated entrepreneurs play a pivotal role in stimulating Indo-US trade and investment. In 2022-23, India imported $51 billion worth of goods from the US, highlighting a robust demand for American products. Concurrently, Indian exports to the US surged to $79 billion in goods and $33 billion in services. The backdrop of this economic synergy is underpinned by significant foreign direct investment (FDI).

Impact of US FDI in India

Since 2000, US companies have invested around $63 billion in India through FDI equity, primarily concentrated in the retail and technology sectors. This investment not only strengthens bilateral ties but also facilitates technological transfer and job creation.

Indian Investment in the US

On the flip side, Indian firms have proactively invested over $40 billion in the US by 2023, generating approximately 426,000 jobs. This reciprocal flow of capital signifies the deepening economic interdependence between these two nations.

Contribution of Indian Students

Another dimension of the Indo-US relationship is the presence of approximately 250,000 Indian students, who constitute 25% of the international student body in the US. These students contribute nearly $10 billion to the US economy and support 93,000 indirect jobs annually.

Indian Unicorns and NRI Influence

In 2023, out of India's 114 unicorns, 25% were founded by US-educated entrepreneurs, demonstrating the influential role of education and experience gained in the US. Furthermore, the US remains the largest source of global remittances to India, sending close to $26 billion in 2022-23.