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The share of educated youths among all unemployed people increased from 54.2% in 2000 to 65.7% in 2022 according to latest figures by the International Labour Organization.
There’s also been no significant growth of real wages in India since 2014, according to numbers computed by noted developmental economist Jean Dreze.
India “risks squandering its demographic dividend” – the economic growth potential from a big working-age population – the World Bank’s regional economist said in an interview to the Financial Times recently.
Job creation is a problem Mr Modi has been unable to solve.
Right off the back of his victory in 2014, the prime minister launched an ambitious Make In India campaign to turn India into the world’s factory. In 2020, his government doled out $25bn in incentives to companies across sectors from semi-conductors to mobile electronics in order to enhance India’s manufacturing capabilities.
But success has been elusive.
Yes, the likes of Foxconn – which makes iPhones for Apple – are moving their supply chains to India as part of the global “China plus one” diversification strategy. Other major global giants like Micron and Samsung have also been enthused to invest. But the numbers are not significant yet.
Manufacturing’s share as a percentage of GDP has remained stagnant in the last decade despite these efforts.
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