DEMOGRAPHIC DIVIDEND
Approximately 200 million Indians are between the ages of 15 and 24 and India is well positioned to make the most of a growing population of working age. However, to reap the demographic dividend, India will have to manage the demand and supply of skills and labour carefully. While the government has introduced policies to improve access to education, much more needs to be done to improve the quality of education, standards of teaching, methods of examination, development of skills, vocational programmes, etc. In order to make Right to Education policy effective, the country disadvantaged and advantaged backgrounds being able to study together and better should also address the challenges of bridging the gaps between children from understand, respect and befriend each other. In the new year, India should look to develop public-private partnerships and social entrepreneurship programmes that can
INFLATION CONTROL
Ahead of the 2014 elections, the issue of high inflation is Upper most in the minds of politicians, policymakers and the people. Consumer prices in India have risen at an average annual pace of 10 per cent during the past five years and Indian households are bracing for another 13 per cent increase next year. To check inflation, the Reserve Bank of India has raised interest rates and will review India’s monetary policy framework in line with recommendations by the Urjit Patel Committee, which is expected to submit its report at the end of the year. It is also essential to manage artificially induced national and international mechanisms. The central bank and Ministry of Finance are working together to analyse and understand the reasons and find ways to encourage investment and curb inflation.