By Chetan Pania
Founder, Youth Economic Forum
India’s Youth as the Engine of Global Growth, Innovation, and Sustainable Development
Introduction: The Global Institutions at a Crossroads
Global institutions such as the United Nations (UN), International Monetary Fund (IMF), World Bank, World Trade Organization (WTO), and World Health Organization (WHO) were created to stabilize the world order, promote development, and ensure collective progress. However, the 21st century presents a fundamentally different reality—one shaped by demographic shifts, technological disruption, climate change, and youth-led innovation.
At the heart of this transformation stands India’s youth—the largest youth population in the world. With over 65% of India’s population under the age of 35 and nearly one-fifth of the global youth residing in India, it is no longer optional for global institutions to engage with Indian youth; it is an economic and strategic necessity.
If global institutions truly seek reform, relevance, and resilience, Indian youth must become central to their reform agenda.
Why Indian Youth Matter to the Global Development Landscape
1. India’s Youth Are the World’s Largest Human Capital Reservoir
By 2030, India will supply the largest share of the global workforce. As aging populations shrink labor pools in Europe, Japan, and parts of China, India’s youth will drive global productivity, consumption, and innovation.
Ignoring Indian youth in global policy frameworks would mean ignoring the future workforce of the world economy.
2. Indian Youth Are Catalysts of Global Innovation and Entrepreneurship
From digital public infrastructure (DPI) and fintech innovations to startups, climate tech, health tech, and AI, Indian youth are already shaping global markets.
Global institutions must recognize that:
Indian youth are job creators, not just job seekers
They are solution builders for global challenges, not beneficiaries of aid
3. Indian Youth Will Determine the Success of the SDGs
The success or failure of the UN Sustainable Development Goals (SDGs) will largely depend on India. Goals related to:
- Poverty eradication
- Quality education
- Decent work
- Climate action
- Digital inclusion
Cannot be achieved without empowering Indian youth at scale.
4. India’s Youth Represent Global Stability and Peace
Youth unemployment, under-skilling, and exclusion are breeding grounds for social unrest and migration crises. Investing in Indian youth is not just development policy—it is global risk management.
Why Global Institutions Must Reform Their Youth Engagement Models
Despite frequent references to youth, most global institutions still treat youth as:
Beneficiaries
- Participants in consultations
- Targets of welfare schemes
- What is needed instead is a shift to:
- Youth as co-creators of policy
- Youth as economic stakeholders
- Youth as partners in governance
Key Steps Global Institutions Must Take for Holistic Youth Development
1. Establish a Global Youth Economic Framework
Institutions like the IMF and World Bank must move beyond social protection and create a Global Youth Economic Framework focusing on:
- Youth entrepreneurship financing
- Youth-led MSMEs
- Credit access for first-generation entrepreneurs
- Youth-friendly financial systems
- Indian youth should be at the core pilot group of this framework.
2. Create Dedicated Youth Development Financing Windows
Just as climate finance exists, Youth Development Finance must become a global priority.
- Global institutions should:
- Create Youth Development Funds
- Offer low-interest capital for youth startups
- De-risk youth entrepreneurship for developing economies like India
3. Institutionalize Youth Representation in Decision-Making
Youth advisory councils are not enough. Global institutions must:
Include youth representatives in boards, policy committees, and reform task forces
Ensure Global South youth, especially Indian youth, have formal voting or advisory power
4. Align Global Trade and Digital Policies with Youth Aspirations
The WTO and UN agencies must reform trade and digital governance to:
- Enable youth-led startups to access global markets
- Simplify cross-border digital trade for young entrepreneurs
- Support skill portability and global certifications
5. Invest in Future-Ready Skills at Scale
The World Bank, WHO, and UN agencies must collaborate with India to:
- Build global skill universities and digital academies
- Focus on AI, climate resilience, healthcare, manufacturing, and green jobs
- Recognize Indian youth as global skill suppliers
6. Integrate Youth into Climate and Health Leadership
Climate change and global health challenges will disproportionately impact youth. Institutions must:
- Fund youth-led climate solutions
- Empower Indian youth in global health innovation
- Include youth voices in climate negotiations and health policy reforms
7. Support Youth-Led Institutions from the Global South
Global institutions must partner with youth-led think tanks, forums, and platforms from India and the Global South, rather than limiting engagement to traditional elites.
Organizations like Youth Economic Forum can act as bridges between:
- Youth aspirations
- Policy institutions
- Global development goals
India’s Youth: From Demographic Dividend to Global Development Dividend
Indian youth are not a domestic responsibility alone; they are a global public good. When empowered, they contribute to:
- Global growth
- Innovation
- Peace
- Sustainable development
The reform of global institutions will remain incomplete unless India’s youth are placed at the center of global governance, finance, and development strategies.
Conclusion: A Call for Youth-Centric Global Reform
The future of the world economy, climate action, and global stability will be written by today’s youth. Global institutions must ask themselves a simple question:
Can the world be reformed without reforming how we empower the largest youth population on Earth?
The answer is clear.
It is time for the UN, IMF, World Bank, WTO, WHO, and other global institutions to move from symbolic youth engagement to structural youth empowerment, with Indian youth at the core of their reform agenda.
