Indian Diaspora: Meaning, Overseas Population, Importance

PWOnlyIAS February 12, 2025 06:26 73 0

Indian Diaspora has evolved from ancient migration to modern-day skilled professionals moving abroad. Learn more about Indian diaspora here.

Indian Diaspora: Meaning, Overseas Population, Importance

Indian diaspora is one of the largest in the world, with millions of individuals of Indian origin residing across various continents. It represents a significant force in terms of economic contributions, cultural influence, and diplomatic relations. The term “diaspora” originates from Greek, meaning “to scatter,” and refers to communities that maintain their cultural identity despite residing far from their homeland.

What is Indian Diaspora?

As of November 2024, the Indian diaspora is estimated to be 35.4 million people, including non-resident Indians (NRIs) and People of Indian Origin (PIOs). Over the centuries, the Indian diaspora has evolved from ancient migrations to modern-day skilled professionals settling abroad. From laborers in the colonial era to global CEOs and political leaders today, the influence of Overseas Indians has grown immensely. 

Understand the historical evolution, significance, and role of the Indian diaspora, covering its impact on various spheres like economy, culture, politics, and diplomacy from here.

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Historical Evolution of the Indian Diaspora

The migration of Indians across the globe can be divided into various phases, each marked by distinct reasons and patterns of movement.

Era Description
Ancient Migration Early migration during the 1st century AD saw the movement of Indian traders and settlers to Southeast Asia, Africa, and Europe. The Chola Empire (9th–13th century) facilitated migration to regions such as Indonesia, Malaysia, and Cambodia.
Colonial Era (19th–20th Century) The British Empire transported Indians as indentured laborers to work on plantations in Mauritius, Fiji, Trinidad, and South Africa. This phase, known as the Old Diaspora, saw over 1.5 million Indians moving abroad under contract labor agreements.
New Diaspora (Post-1960s) After the 1960s, migration patterns shifted, with skilled professionals moving to developed nations like the USA, UK, Canada, and Australia due to favorable immigration policies.
Gulf Migration (Post-1970s) The oil boom of the 1970s led to a surge in migration to Gulf countries, with a large number of semi-skilled and unskilled Indian workers taking up contractual employment.

Categories of Indian Diaspora

The Indian government officially classifies the diaspora into three categories: Non-Resident Indians (NRIs), Persons of Indian Origin (PIOs), and Overseas Citizens of India (OCIs).

Comparison of NRI, PIO, and OCI
Feature NRI (Non-Resident Indian) PIO (Merged into OCI) OCI (Overseas Citizen of India)
Definition Indian citizen residing abroad. Foreign citizen of Indian origin. Foreign citizen of Indian descent with OCI status.
Citizenship Holds an Indian passport. Held foreign citizenship and PIO card. Foreign citizenship, OCI cardholder.
Voting Rights in India Yes No No
Government Jobs in India Yes No No
Visa Requirement in India Not required Required earlier; now merged into OCI. Visa-free lifelong entry to India.
Eligibility for Citizenship Already an Indian citizen. 7 years of residence in India. 5 years as an OCI and 1 year of residence in India.

Top Countries with the Largest Indian Population

The Indian diaspora is spread across more than 125 countries, with some nations having a substantial Indian-origin population. Here are the top 10 countries with the largest Indian diaspora based on the total number of Non-Resident Indians (NRIs) and Persons of Indian Origin (PIOs): 

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Country Non-Resident Indians (NRI) Persons of Indian Origin (PIO) Overseas Citizens of India (OCI)
United States (USA) 2077158 3331904 5409062
United Arab Emirates (UAE) 3554274 14574 3568848
Saudi Arabia 2460603 2906 2463509
Canada 1016274 1859680 2875954
Malaysia 163127 2751000 2914127
Sri Lanka 7500 1600000 1607500
South Africa 60,000 1640000 1700000
United Kingdom (UK) 369000 1495318 1864318
Myanmar 2660 2000000 2002660
Mauritius 23708 871140 894848

Significance of the Indian Diaspora

The Indian diaspora plays a crucial role in strengthening India’s global influence.

1. Economic Contributions

  • Remittances: India received $129.1 billion in remittances in 2024, accounting for 14.3% of global remittances, the highest for any country.
  • Investment and Trade: Indian-origin entrepreneurs and business leaders contribute significantly to India’s startup ecosystem and FDI (Foreign Direct Investment).

2. Cultural Diplomacy

  • Promotion of Indian Traditions: Indian festivals like Diwali and Holi are celebrated globally, strengthening cultural ties.
  • Recognition of Indian Heritage: Practices like yoga and Ayurveda have gained global recognition, thanks to the diaspora.

3. Political Influence

  • Diaspora leaders in Global Politics: Indian-origin individuals hold key positions in US, UK, Canada, and Portugal.
  • Lobbying for India’s Interests: The Indian diaspora in the US played a role in securing India’s nuclear deal in 2008.

4. Knowledge Transfer and Innovation

  • Skilled Professionals: Indian-origin scientists, engineers, and doctors contribute to leading industries worldwide.
  • Philanthropy: Indian-origin business leaders donate to social and educational initiatives in India.

Challenges Faced by the Indian Diaspora

Despite its successes, the Indian diaspora faces several challenges:

  • Workplace Discrimination: Many Indian workers, especially in the Middle East, face unfair labor conditions.
  • Political Tensions: Indian-origin communities sometimes face racial discrimination in host countries.
  • Legal Barriers: Indian workers in Gulf nations lack citizenship rights or long-term residency options.

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Strategic and Diplomatic Significance

The Indian government actively engages with the diaspora to leverage its influence. Here are some Government Initiatives for the Indian Diaspora: 

Government Initiatives for the Indian Diaspora
Initiative Objective
Pravasi Bharatiya Divas Annual event to celebrate diaspora contributions.
Overseas Citizenship of India (OCI) Provides lifelong visa-free travel and residence to Indian-origin individuals.
India Development Foundation of Overseas Indians (IDF-OI) Encourages philanthropy from diaspora members towards development projects in India.

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Indian Diaspora FAQs

The Indian diaspora refers to people of Indian origin who reside outside India but maintain cultural and emotional ties with their homeland.

The United States has the largest Indian diaspora, with over 4.8 million people of Indian origin.

The Indian diaspora plays a crucial role in remittances, investment, cultural diplomacy, and global political influence.

Diaspora members send remittances, promote trade, invest in Indian businesses, and support educational and social initiatives.

India has launched programs like Pravasi Bharatiya Divas, OCI Card, and IDF-OI to engage with overseas Indians.
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