Bring Back the Techies
By KN Kumar
India’s technology boom has crowned cities like Bengaluru, Hyderabad, and Pune as global innovation hubs, but a new contender is rising in the Northeast. Meghalaya, with its youthful population, favourable climate, improving connectivity, and bold government vision, is poised to become the Silicon Valley of the Northeast. To realize this ambition, the state must, however, redouble its efforts, harness its full potential through strategic policies, targeted investments, and a concerted effort to bring its tech-savvy diaspora back home.
Meghalaya’s digital transformation is gaining momentum. The state government is deploying cutting-edge technologies to modernize governance and infrastructure. Blockchain streamlines employee data management, IoT sensors monitor water resources, AI enhances greenhouse farming, and robotics boosts agricultural productivity. The Shillong Tech Park is expanding, and two new tech parks are projected to create 4,000 direct and 11,000 indirect jobs. The National Informatics Centre in Meghalaya has rolled out e-Governance applications, simplifying recruitment, building permissions, and public service delivery. The e-District Project has issued over 1.3 million digitally signed certificates, reduced bureaucracy, and enhanced transparency. The 2025-26 state budget allocates Rs 132 crore to the IT sector, emphasizing digital inclusion and skill development. While these steps are promising, Meghalaya must step up aggressively to compete with India’s established tech hubs.
The state’s demographic advantage is a cornerstone of its potential. With 74% of its population under 35 and 85% under 45, Meghalaya boasts one of India’s youngest workforces—a vital asset in a tech-driven world. The “Skills Meghalaya” initiative aims to train 120,000 youth by 2027, but the state must align these programmes with industry demands in fields like artificial intelligence, cybersecurity, cloud computing, and software development. A workforce skilled in these areas could propel Meghalaya into the national tech spotlight.
English proficiency further bolsters Meghalaya’s appeal. Unlike cities reliant on migrant labour, Meghalaya’s homegrown, English-speaking talent offers cultural cohesion and cost-effectiveness, qualities that have fuelled Pune’s rise as a BPO hub. This linguistic edge positions the state to attract IT and IT-enabled services firms seeking globally competitive workforces.
Meghalaya’s temperate climate, averaging 23°C annually, is another draw. Unlike Hyderabad or Chennai, where scorching summers inflate cooling costs for data centres and offices, Meghalaya’s mild climate reduces energy expenses and enhances quality of life. This mirrors the appeal of Himachal Pradesh’s Baddi corridor, which has lured companies with its pleasant environment.
Connectivity, a historical challenge in the Northeast, is improving steadily. Umroi Airport links Shillong to cities like Guwahati, Kolkata, and Imphal, with potential for expansion to support tech-related travel. Upgraded roads and high-speed internet infrastructure are critical to a modern tech ecosystem. The International Internet Gateway project, leveraging Bangladesh’s network, promises robust digital access, and 89% of Meghalaya’s villages now have telecom connectivity. These developments bridge the gap between Meghalaya and India’s tech powerhouses.
A hidden strength lies in Meghalaya’s diaspora. Thousands of Northeastern professionals work in tech hubs like Bengaluru, Hyderabad, and Chennai, with estimates suggesting 15-20% of Bengaluru’s IT workforce hails from the region. This talent pool, rich in experience and entrepreneurial ambition, could transform Meghalaya if lured back. States like Kerala, with its “Return to Kerala” campaign, and Gujarat, through the Vibrant Gujarat Summit, have successfully tapped their diaspora. Globally, China’s Thousand Talents Plan and Israel’s tech repatriation programmes illustrate the impact of such strategies.
Policy innovation is critical to Meghalaya’s tech ambitions. The draft IT/ITeS Policy of 2024 emphasises investment, infrastructure, and skills, but needs bolder measures to rival states like Telangana, home to the T-Hub innovation centre, or Kerala, with its Startup Mission. Meghalaya could offer a three-year tax holiday for IT firms creating significant jobs, streamline land acquisition for tech parks, and subsidise electricity and internet costs to attract startups and multinationals.
I propose that a “Meghalaya Tech Return Scheme” (MTRS) be launched immediately. This initiative would offer relocation grants of up to Rs 5 lakh for tech professionals or teams launching ventures in Meghalaya, incentives for hiring locals, and support for co-working spaces with high-speed internet. Remote work hubs could also attract professionals seeking Meghalaya’s serene environment while maintaining ties to larger cities. If implemented properly, it could be transformative.
Consider the economic impact of just 100 returning tech professionals. If each launches a startup employing 10 locals, 1,000 direct jobs would be created—a significant boost for a state grappling with youth unemployment. Assuming each startup generates Rs 5 crore in annual revenue (a conservative estimate for early-stage tech firms), the cohort could contribute Rs 500 crore to Meghalaya’s economy by year three, potentially scaling to Rs 2,000 crore by year five, with growth. The government’s investment—Rs 5 lakh per techie in relocation grants and Rs 10 lakh per startup in tax holidays or subsidies—would total Rs 15 crore. At prevailing corporate tax rates, the state could earn Rs 100 crore annually from these startups starting in year four (after a three-year tax holiday), yielding a net return of Rs 85 crore in the first year of taxation alone.
The ripple effects are substantial. Each direct tech job typically generates 2.5 indirect jobs in sectors like hospitality and retail, adding 2,500 ancillary jobs. Returning techies could attract Rs 2 crore per startup in external funding, injecting Rs 200 crore into the economy. These ventures would upskill local talent, creating a pipeline for future enterprises, much like Kerala’s IT sector. The MTRS aligns with India’s Startup India initiative, which offers tax benefits and a Rs 10,000 crore venture capital fund. By layering state incentives atop central schemes, Meghalaya could amplify its appeal.
These projections, while promising, require rigorous validation. Nonetheless, I believe that a 100-techie pilot under the MTRS could deliver immediate fiscal gains and long-term structural benefits, positioning Meghalaya as an innovation magnet. Scaling this model to attract thousands, as Gujarat has done with its diaspora, could cement the state’s tech credentials.
Meghalaya’s journey to become the Northeast’s Silicon Valley demands vision and action. The Meghalaya Tech Return Scheme (MTRS) promises transformative benefits not only for Meghalaya but for the entire Northeast region. By attracting tech-savvy professionals back to Meghalaya, the scheme will foster a vibrant innovation ecosystem, creating high-skill jobs and spurring economic growth. The resulting tech hubs in Meghalaya could catalyse the Northeast, encouraging cross-state collaboration, attracting investment, and upskilling youth across Assam, Arunachal Pradesh, and beyond. Improved connectivity and shared resources would position the region as a unified tech frontier, reducing brain drain and elevating the Northeast’s profile as a competitive player in India’s digital economy.
By leveraging its youthful talent, English proficiency, climate, connectivity, and diaspora, and by enacting bold policies like the MTRS, the state can redefine the region’s economic future. The opportunity is ripe, but leadership must seize it now. Will someone please take charge?
(The writer is former member of the IAS)