ISAS Insights

Three years into office, India’s Prime Minister Narendra Modi is yet to deliver on his campaign promise of creating jobs for the millions of youth who are flooding the labour market each year. Although the recent discourse about jobs in India has focussed on the job losses on account of demonetisation of high value currency late last year and the hasty implementation of the Goods and Services Tax earlier in July 2017, the employment problem is deeper and more structural in nature. Even as employment data are deficient and unreliable, there is no doubt that the problem is large and growing. There can be no simple or single solution to a challenge as complex as this – innovative policies and energetic action are needed on a whole range of fronts. Making a headway on solving India’s employment problem will remain Modi’s most formidable challenge and one that will determine his legacy.