New Delhi, May 21: India is at a crucial juncture where it needs to create 115 million jobs by 2030 to sustain its economic momentum. The steep job creation target is essential to respond to its rising workforce and keep the economic engines running smoothly, which can be done by increasing growth in the services and manufacturing sector to maintain current economic progress.

As per a report of Wion, India must create 115 million jobs by 2030 to sustain economic growth. The Natixis SA study, released recently, emphasises the need for significant economic development both in the services and manufacturing sectors to keep up with the expanding labour force. According to Trinh Nguyen, a senior economist at Natixis, the country needs to create 16.5 million jobs annually, a sharp increase from the 12.4 million jobs generated per year over the last decade. To meet the demand, 10.4 million of these jobs must come from the formal economy. AICTE Join Hands With Skillible To Launch ‘SAMBAV’ Programme To Upskill and Reskill One Million Students and Professionals in India.

It is necessary that both manufacturing and service industry get focused on for the next five years. The Indian economy is expected to grow by over seven per cent this year. However, even though this rate of growth has been rapid, it may not be enough to provide adequate employment for India’s 1.4 billion people. However, out of these 112 million jobs created during the previous decade, only about 10 percent were official. Rajeev Chandrasekhar Says India’s Tech Journey in Next 10 Years Going To Be Even More Exciting.

There is a high youth unemployment rate posing as a problem for the government and another report suggests that only 58 per cent of the country's working population is actively employed, which is a significantly lower labour force participation rate compared to other countries in Asia. Trinh Nguyen suggests, that India's services industry, which makes up over half of its GDP has limited potential for job creation and improving labour quality, so India should focus on developing its manufacturing sector.

(The above story first appeared on LatestLY on May 21, 2024 08:28 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).