2023 · GS Paper 2 · Q10 · 10 marks
Indian diaspora has scaled new heights in the West. Describe its economic and political benefits for India.
In short
India's Western diaspora brings economic benefits through remittances, investment and start-up networks, and political benefits through lobbying, representation and soft power. The US now sends about 28% of India's remittances, and Indian-American advocacy helped pass the 2008 civil nuclear deal.
Model answer
Ghissu Editorial · Verified 4 Oct 2026 · 270 words
Remittances
The RBI's 2023-24 remittance survey found the US, with about 28% of inflows, has overtaken the UAE as India's largest source, a shift driven by skilled Western migrants.
Investment
Diaspora leaders steer capital to India, as with Google's USD 10 billion India Digitization Fund announced by Sundar Pichai in 2020.
Knowledge and trade
Networks such as TiE, founded in Silicon Valley in 1992, bring mentoring and venture capital to Indian start-ups, and two-market familiarity eases deals such as the 2025 India-UK trade agreement.
Lobbying
Groups such as USINPAC mobilised Congress for the 2008 civil nuclear deal, and in 2022 the House passed Ro Khanna's amendment urging a CAATSA waiver for India.
Representation
Kamala Harris as Vice-President (2021-25) and the growing "Samosa Caucus" in Congress give India familiar, sympathetic interlocutors in Western capitals.
Soft power
Community events such as "Howdy Modi" in Houston (2019) and the spread of yoga project India as a fellow democracy and a trusted partner.
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Indian Diaspora4 questions
Asked in 4 of 14 sittings since 2013
- 2026“India’s global diaspora acts as a living bridge, as a critical economic factor and knowledge network in transforming cultural heritage into geopolitical influence and strategic leverage worldwide.” Critically examine this statement.
- 2020Indian diaspora has a decisive role to play in the politics and economy of America and European Countries'. Comment with examples.
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Question from the official UPSC Civil Services (Main) Examination 2023 paper. Answer written by Ghissu's engine and checked against our editorial standards. Found an error? Tell us and we correct it within 48 hours.