India is planning to create 3 million jobs in its labour force by 2020, according to an economic report published by the country’s Ministry of Finance.
In an analysis, the Ministry of Commerce and Industry has projected that India will add a net gain of around 1.5 million jobs by 2021, which will bring its total employment to over 12 million.
It says the new jobs will come mainly from services and manufacturing sectors, with the majority of jobs in the private sector.
The number of Indians employed in services is expected to grow by almost 40 per cent by 2020 compared to the previous year, the report said.
According to the Economic Survey of India 2016-17, employment in India’s services sector grew by a cumulative rate of 5.3 per cent between 2013 and 2016, and this will be accelerated by an additional 3 per cent per year in the coming five years.
The report said the sector is expected grow by 6 per cent a year from 2019 to 2020.
The data comes as the government prepares to introduce a slew of reforms to improve the labour market, which is expected under Prime Minister Narendra Modi to add another 3.7 million jobs to the economy by 2021.
The country’s economy is expected be the second largest in the world by 2021, behind China.