India’s demographic mix gives the country a unique opportunity to generate benefits from the global talent demand supply gap.
India is expected to become the most populous country by 2030. The country’s median age in 2030 will be 32 compared to 39 in US and 43 in China. India’s share of working age population is set to rise. By 2020, US, China, Russia, Japan and UK will have a combined skilled labor shortage of 44 million while India is expected to have a surplus of 47 million.
The success of India’s potential as world’s talent factory will depend on how the country manages to educate its young population to produce a skilled and employable workforce. According to Census figures, over 30% of Indian population is between the age group 0-14 while over 50% are under the age of 25. Hence the people needing primary and higher education in India are almost double the entire population of US. The demand for education is further magnified by the growth of middle class in India, which attaches great value to education and has the capacity to pay for it. The Indian middle class is expected to grow almost 10 times to over 500 million people in the next 10 years.