Question

Give any two reasons for the increasing importance of the service sector in India.

Service industry/sector in India is becoming the mainstay of the Indian economy’ Comment.

Answer 1

1. The service sector accounts for the largest share of the country’s GDP.
2. The service sector in India has become extremely important not only in terms of GDP, but it is a key factor for employment generation.
3. The service sector is the largest recipient of foreign direct investment in India.