“Effect of Demographic Dividend on Indian Economy”

Our nations economical condition improving day to day,many possitive factors are responsible for this improvement.Among them Demographic Dividend is playing major role.Like Brand India in recent years Demographic Dividend is popular.Demographic dividend occurs when the proportion of working people in respect of total population is high,this ratio shows high productivity which contribute in the growth of the economy.Now half of our country population is below the age of 25 and in the next 10 years the largest work force would be in India.Now we have to think how can we use this work force in a more productive manner,for this we have to conduct training and skill development programme for our youth.
“Former Indian President Pranab Mukherjee said that India must reap its demographic dividend by improving the quality of teaching and focusing on skill development”.It effects our economy at a major level,if majority of people will be working there are dependency ratio is minimum it means very few person below 15 and above 64 age.Declining in dependency means this is the time when women will enter in work force.It will decrease individuals burden so he or she can save more.More saving means this will increase nation savings rate,increase the stock of capital in developing countries which already facing shortage of capital.When a lumsum amount is invested it will leads to higher productivity.In order to economic growth government should provide quality education,adequate nutrition,health including to sexual and reproductive health.Decrease in fertility rates result women will be more healthy and very low economic pressure at home.Saving money invested in more resources in respect of their child’s future.From this our nations GDP per capita will be increase which provides a healthier economy to our country.There is a strategic urgency to make policies by which we can take more advantages of demographic dividend.
India has a big youth population which about 64.4% of its total population between the ages of 15 and 59 years.Children between the age of 0 and 14 years made up 27.3% of the population this is the future demographic dividend.
By-Lalita Rajput