Economic Survey 2025: India’s demographic dividend rides on mental health of its youth

The government has launched the short duration skill training of rural youth scheme

India’s demographic dividend is riding on skills, education, physical health and, above all, mental health of its youth, The Economic Survey, which was tabled in Parliament on January 31, says.

“For India, a services driven economy with a youthful and adaptable workforce, the adoption of AI offers the potential to support economic growth and improve labour market outcomes,” the survey, which comes a day ahead of the Budget, said.

Finance Minister Nirmala Sitharaman tabled the Economic Survey 2024-25, the government’s report card on the state of India’s economy, in the Lok Sabha.

The survey says it will also require appropriate skilling and education for India’s youth to take advantage of technological advances such as artificial intelligence, enabling its population to stay one step ahead of fast-developing technological developments.

The government has launched the short duration skill training of rural youth scheme to offer training to rural youth and farmers in agriculture and related fields.

Follow our live blog for the latest on Economic Survey

As many as 20,940 candidates had been trained by November 2024, of these 5,504 were trained in FY25. The survey has projected India’s real gross domestic product (GDP) at 6.3-6.8 percent in FY26, even as it said government “getting out of the way and allowing businesses to focus on their core mission is a significant contribution that governments around the country can make to foster innovation and enhance competitiveness”.