New Delhi, Jun 30 (IANS): With an spurt in the smartphone and internet use, the amount of money spent on apps is projected to reach around $800 billion (Rs 64 lakh crore) in India by 2030, a report showed on Friday.

The Indian economy is expected to be around $6,600 billion by 2030 and the app spending is likely to be around 12 per cent of the GDP, according to the report by Broadband India Forum (BIF).

The growth being observed in the app economy is around 32 per cent, which is more than four times the GDP growth, which can be attributed to the larger multiplier effect of smartphone users and overall economic expansion.

The report was unveiled by the Minister of State for Electronics and IT Rajeev Chandrasekhar here.

"India's aspiration to become a $5 trillion economy in the next few years is premised on a $1 trillion contribution from the digital economy," said Aruna Sundararajan, BIF Chairperson and former telecom secretary.

"Apps are an integral part of the digital economy as they empower individuals, businesses, and governments to make informed, data-driven decisions. They are expected to have a positive impact on overall productivity and GDP,” she added.

It is interesting to note that the contribution of the app economy to India’s GDP is higher than that for the EU and the UK for 2021.

Nearly 85 per cent of the total digital transactions in India, which include credit and debit cards and internet banking are made through mobile payments.

“Considering the significant impact of the apps ecosystem on the country's economy and the socio-economic welfare of its citizens, the government must be commended for enabling this through the current policies and regulations for apps,” said said T.V. Ramachandran, President, BIF.

"The same support should be continued to help unlock the true potential of the app ecosystem in India,” he added.