Vodafone Report Says Mobile Phones Drive Economic Growth

A report funded by Vodafone has looked at mobile phone use in India, and found clear evidence to suggest that mobile penetration facilitates economic growth. It shows that Indian states with 10% higher mobile phone penetration will enjoy an annual average growth rate 1.2% higher than those with a lower teledensity.There have been similar claims in the past – but the difficulty has typically been in finding out which came first, the prosperity or the mobile phone.

The report on the socio-economic impact of mobile technology was carried out by a team of researchers led by Professor Rajat Kathuria of the Indian Council for Research on International Economic Relations (ICRIER). Funded by Vodafone as part of a series of studies on the socio-economic impact of mobile (SIM), the report demonstrates that mobiles aid the process by which disadvantaged groups, including the low-skilled labour force, enjoy the fruits of economic growth.

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