New Delhi, Oct 4 (UNI) The output of India's economy can grow more than five-fold if all entreprises could achieve national best practices based on knowledge already in use in the country, said World Bank Senior Economist Mark Dutz.
He said while India is a top global innovator, less than three per cent of the Indian work force is in the modern private sector, while about 90 per cent remains in the informal sector creating wide disparities in productivity level.
''The disparities in productivity levels across firms within manufacturing sectors is wider in India than in China, Mexico, the Russian Federation and the Republic of Korea.'' Mr Dutz said, adding, innovation should be taken as an improving practice across the entire economy.
He further suugested pro-poor initiatives should be scaled up.
Innovation network should be formally evaluated and supported, and government programmes should promote more knowledge absorption in the productive sector and extend power of innovation to the common man, the economist added.
Mr Dutz was speaking during the release of a World Bank report 'Unleasing India's Innovation'.
The report emphasises that India have enough potential and can do much more by bringing the benefits of innovation to the poor.
It says that by creating and commercialising new to the world knowledge as well as diffusing and absorbing existing knowledge can help India to sustain faster growth.
It stresses to increase competition, build stronger skills to the poor, besides, providing more public and private finance for R&D.
The country's small numbers of high-quality institutions are not enough to meet its growing demand for skilled personnel.
To maintain its share of global knowledge services, India will need 2.3 million knowledge professionals by 2010, the report claimed.
In-service training is another important means of imparting skills, and the Indian firms that provide in-service training are 23-28 per cent more productive than those that do not, the report added.