India risks losing demographic edge without skills: CEA V. Anantha Nageswaran at AI India Summit " src="https://img.etimg.com/thumb/msid-128453366,width-650,height-488,imgsize-1493864,resizemode-75,rect-351_90_6313_4733/india-risks-losing-demographic-edge-without-skills-cea-v-anantha-nageswaran-at-ai-india-summit-br.jpg">AgenciesIndia risks losing demographic edge without skills: CEA V. Anantha Nageswaran at AI India Summit India risks squandering its demographic dividend and widening inequality unless it moves swiftly on skilling and education. The world’s most populous nation needs to create at least eight million jobs annually until 2030 to cater to a rapidly growing workforce and if artificial intelligence outpaces skilling of workforce, the nation risks losing out benefits of a young working age population, Chief Economic Adviser V. Anantha Nageswaran said on Monday at the AI summit in New Delhi. “We risk widening inequality at precisely the moment of greatest change.”He said the nation needs to simplify rules in labor-intensive sectors as only a small proportion of India’s over 1.4 billion people, just 4.4%, are formally skilled, according to the economic survey 2023-24, despite various government measures. Deployment of AI needs to be calibrated else it would create “unavoidable social and economic instability,” he added. Prime Minister Narendra Modi’s ambition to turn India into a developed nation by 2047 will require sustained annual growth of at least 8%, alongside a rapid expansion of infrastructure and job creation to meet that goal. The window for job creation is finite as over the next 15 years, India’s labor force is set to expand, then level off and begin to age, putting a clock on the nation’s chance to cash in on its demographic dividend. For advanced economies facing demographic decline, AI can serve as a supplement but “for India it is a stress test of our state capacity,” he said. Live Events“With foresight, institutional disciple and relentless execution, India can become the first large society to demonstrate that human abundance and machine intelligence can reinforce and not undermine each other,” he said, adding it requires urgency, political will and state capacity. India needs to reform education and impart foundational skills to align artificial intelligence with increasing employability. “For India it isn’t a debate about future of work, it is a decision about the future of growth, social stability and cohesion. We must act and act now.”He added, "With foresight, institutional discipline, and relentless execution, India can become the first large society to demonstrate that human abundance and machine intelligence can reinforce and not undermine each other," Nageswaran highlighted when speaking at the Future of Employability and AI session at the event.Asserting that the outcome of artificial intelligence will not be "accidental", Nageswaran said achieving this vision demands strong state capacity and a clear national strategy to drive the required transformation. "This is not the task of the government alone; it must be a Team India effort, bringing together policymakers, industry, educators, and the society at large," he said.The CEA stated that India's demographic dividend is both a "promise and a warning," and called for urgent reforms to prevent an opportunity from becoming a "long-term liability." He emphasised that while millions of jobs are created annually, a significant skill gap persists.Addressing the summit virtually, the CEA said, "I hope this speech does trigger some truthful, concrete, and immediate action at all levels of society."The summit, which will go on till February 20, seeks to advance the use of AI in ways that drive inclusive economic growth, social development, and innovation that serves people while safeguarding the planet.With inputs from Bloomberg Add as a Reliable and Trusted News Source Add Now! Read More News onIndia demographic dividendV. Anantha Nageswaraneducation reform IndiaAI India Summit 2026job creation in Indiaartificial intelligence and workforceeconomic inequality in IndiaAI India Summitskill gap in Indiasustained economic growth India Read More News onIndia demographic dividendV. Anantha Nageswaraneducation reform IndiaAI India Summit 2026job creation in Indiaartificial intelligence and workforceeconomic inequality in IndiaAI India Summitskill gap in Indiasustained economic growth India Prime ExclusivesInvestment IdeasStock Report PlusePaperWealth EditionIs it hope against hope for Indian tech cos?Meesho and Valmo’s growth sprint: Can scale deliver durable advantage?A tale of two events: How IndiGo-Air India power balance changed in 6 monthsSaurabh Mukherjea’s long walk through the quality cycleStock Radar: Breakout from symmetrical triangle makes Blue Star stock an attractive buy; what should investors do?These large-caps have ‘strong buy’ & ‘buy’ recos and an upside potential of up to 25%123View all Stories