Bridging the skill gaps in India’s labour markets

Abstract

India will experience a demographic dividend in the coming years. By 2022, India would find 63% of its population in the working age groupi. This 20-25 years window of opportunity enjoyed by India would result in a low dependency ratio and give us a comparative cost advantage compared to other countries. India’s working age population will be 18% of the world’s working population in 2022 compared to US (4.1%), UK (0.8%), Brazil (2.9%), etc. It is expected that the ageing phenomena will create a skilled manpower shortage of about 56.7 million by 2020ii. India can not only cater to its internal demand but become a supplier of skilled workforce to the rest of the world.