Indian diaspora has scaled new heights in the West. Describe its economic and political benefits for India. (UPSC 2023)

Indian diaspora in the West is now a major asset, turning migration into capital, skills and influence for India.

• Economic benefits: It sends large remittances, supports household incomes, foreign exchange reserves and the balance of payments. Affluent NRIs/OCIs invest in startups, real estate, bonds and global capability centres, while professionals in Silicon Valley and global firms aid technology transfer, R&D links, mentoring and “brain circulation”.
• Political benefits: Indian-origin lawmakers, mayors and ministers raise India’s visibility, help shape favourable public opinion and strengthen support for trade, technology, defence and mobility ties. Their success also boosts India’s soft power and cultural goodwill abroad.

Thus, the diaspora acts as an economic bridge and political multiplier for India.