Over 40% of unicorns in India are funded by reverse brain drain talent.
This reverse migration of skilled professionals from overseas, especially from tech hubs like Silicon Valley, is accelerating India's growth.
But first, let’s understand what’s reverse brain drain.
Reverse brain drain is simply the net increase of bright people from other countries.
In the case of India, individuals who moved abroad for better job opportunities are returning to their home country, bringing back their skills and experience.
Here is why I and many others think that this trend is benefitting our country-
▶️ First, these entrepreneurs and professionals, such as Prashant Tandon, co-founder of 1mg, Abhiraj Singh Bhal, co-founder of Urban Company, and many others, bring valuable global experience, exposure to cutting-edge technologies and access to networks that aid in fundraising and scaling up.
Their stints abroad equipped them with a broader perspective to identify unique opportunities back home.
▶️ Second, the reverse brain drain has catalyzed the creation of new knowledge-based sectors like SaaS, product engineering, deep tech, etc. For instance, Swati Bhargava, co-founder and CEO of CashKaro has moved back from London and started her venture.
Indian startups are now providing cost-effective, localized solutions that were previously unaffordable for small businesses. This is democratizing technology access.
▶️ Third, reverse migration is creating employment opportunities across tier 2/3 cities and rural areas.
Entrepreneurs like Sridhar Vembu, founder of Zoho, are inspiring local talent by setting up operations in smaller towns of Chennai and retaining skilled workers who may have otherwise moved to metros.
Overall, the cross-pollination of ideas, skills, and capital stemming from the reverse brain drain is fostering an entrepreneurial mindset.
Talented Indians are solving India's unique challenges using their global learnings, giving rise to innovative business models and boosting economic progress.
However, we cannot overstate the fact that to sustain this momentum, we need industry-academia collaborations to create a robust talent pipeline and supportive policies that incentivize reverse migration and ease of doing business.
What's your view on the impact of reverse brain drain on India's growth trajectory?
I'm keen to hear perspectives from founders, investors, and professionals across sectors.
#Reversebraindrain #IndianUnicorns #TechTalent
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