Unlocking Potential

India's demographic dividend – a young and expanding workforce – has long been touted as its greatest economic strength.

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With 65 per cent of the population under 35, the country has a unique advantage over aging economies like Japan, South Korea, and much of Europe. However, merely having a youthful population does not guarantee economic success. The Union Budget must go beyond rhetoric and deliver concrete measures to translate this potential into sustained growth. The government has introduced several initiatives in recent years, such as the PM Internship Scheme and Employment Linked Incentives, aimed at boosting youth employment. Yet, these efforts remain limited without substantial private sector participation. Job creation cannot be driven by government policies alone; it requires strong private capital investment. A worrying sign has been the decline in foreign direct investment (FDI) over the past few quarters. This trend must be reversed through tax reforms, a streamlined approval process for investors, and an improved ease of doing business. India's economic growth must be employment-led, not just