Indian economy is experiencing an accelerated growth. The World Development Report emphasizes that in India the situation of increasing youth population presents an unprecedented opportunity to accelerate growth and reduce poverty.
India has a huge brand name internationally in supplying skilled manpower. According to one estimate, at any point of time, around five million Indians work abroad. With its demographic advantage and the large pool of English speaking people, India can well provide the solution to the world's skills shortage problem.
It is widely recognized that knowledge, skills, and resourcefulness of people are critical to sustain development, economic, and social activity in a knowledge society. Given the current high-paced growth and dynamic investment climate in India, the demand for knowledge workers with high levels of technical and soft skills will only increase. With expansion taking place across sectors: banking and financial services, retail, manufacturing, pharma, outsourcing / offshore companies, service providers, etc there already exists a large need for IT talent.
However, over the past fifteen years, India has produced 1.6 million professionals and faced the uphill task of producing another 0.8 million. But, what is needed is a holistic approach to address the problem of skills shortage within the country
In many countries, building a workforce with higher order skills is an important part of improving the climate for investment, acquiring a competitive edge and generally maintaining an engine of growth. Higher education enhances earnings of the individuals and contributes to economic development and makes a significant contribution to reduction in absolute as well as relative poverty. The progress, prosperity and accelerated growth in economy require support from the higher education system in providing an uninterrupted supply of a skilled and efficient workforce.