How have India’s economic policies influenced its current unemployment situation, particularly in terms of skill development and workforce readiness?

Abstract

India's demographic dividend, characterized by a growing working-age population and a declining dependency ratio, presents a unique opportunity for economic growth. This paper analyzes demographic trends from 1990 to 2030, highlighting the increase in the working-age share from 62.1% in 1990 to a projected 68.9% by 2030. The dependency ratio is expected to decline from 0.80 to 0.55 during the same period, indicating fewer dependents per working-age individual. Leveraging this demographic shift requires strategic investments in education, healthcare, and job creation to harness the potential of the youthful workforce. Failure to do so may result in underemployment and economic stagnation, underscoring the need for timely policy interventions.