From youth capital to AI talent capital: India’s skills moment

World Youth Skills Day, which was observed on July 15, is a reminder that the future of work will be shaped not just by technology, but by people who are equipped to use it well. The United Nations created the day to highlight the importance of giving young people skills for employment, decent work and entrepreneurship. In an AI-first world, that mission has become even more urgent.

For India, Youth Skills Day is not just symbolic. It speaks directly to one of the country’s biggest opportunities: converting its demographic advantage into a digital and AI talent advantage.

India’s youth advantage is the world’s opportunity

India is home to the largest youth population in the world, with about 65% of its people under the age of 35. This makes India the youth capital of the world at a time when many economies are ageing and businesses everywhere are looking for future-ready talent.

At the same time, India’s digital economy is accelerating rapidly. It is expected to grow almost twice as fast as the overall economy and contribute nearly one-fifth of national income by 2029-30. This means digital, cloud, data, and AI skills will no longer sit only inside technology companies. They will be needed across banking, retail, healthcare, manufacturing, education, public services, and small businesses.

The opportunity is clear. But demographics alone will not create prosperity. Skills will.

The skilling gap we must close

India has the talent. What it needs is faster conversion of talent into employability. The Economic Survey 2023-24 noted that only 4.4% of India’s young workforce is formally skilled. This is the gap that industry, academia, and learners must solve together.

Skilling makes a real difference because it turns potential into productivity. It helps young people move from theoretical learning to practical problem-solving. It builds confidence, workplace readiness and career mobility. Most importantly, in today’s environment, it helps young people move from being passive users of AI to becoming creators, supervisors and responsible adopters of AI.

Skills for the AI-powered enterprise

From a Salesforce standpoint, the next wave of opportunity will come from people who can combine digital fluency with business impact. As companies reimagine sales, service, marketing, commerce and customer engagement through AI-powered CRM, they will need talent that understands both technology and customers.

This is already becoming a major economic opportunity. And that opportunity will require many kinds of talent: administrators, developers, consultants, data specialists, AI professionals, customer success managers and business analysts. But it will also require human skills—communication, collaboration, empathy, ethical judgement, and the ability to keep learning.

Five actions to make India’s AI revolution successful

1. Make skilling demand-led

Industry must clearly define the AI, cloud, data, and CRM skills needed for real jobs. Academia must align curricula with these needs. Learners must focus on practical, job-ready capabilities rather than only degrees.

2. Bring real-world learning into classrooms

The gap between education and employment can be closed through live projects, internships, apprenticeships, hackathons and mentorship. Students should graduate with portfolios that show what they can build, solve and improve.

3. Make lifelong learning the new normal

AI will keep changing roles. Skilling cannot be a one-time intervention. Industry must reskill existing employees, academia must refresh courses continuously, and learners must treat upskilling as a career habit.

4. Democratise access beyond metros

India’s AI talent story cannot be limited to large cities. The next wave of skilled talent will come from tier-2, tier-3 and rural India. Digital platforms, regional access, inclusive programmes and affordable learning pathways can bring more women, first-generation learners and underserved youth into the AI economy.

5. Put trust and responsibility at the centre

The AI revolution must be built on responsible use. Industry must deploy AI with governance and transparency. Academia must teach ethics, data privacy and responsible AI. Learners must know not only how to use AI, but how to question, validate and apply it responsibly.

The way forward

India has the youth. The world has the demand. Technology has created the platform. The task now is to build the skills bridge between the three.

World Youth Skills Day should be seen as a call to action: to move India from youth capital to skills capital, and from skills capital to AI talent capital. With the right collaboration between industry, academia and learners, India can build talent not just for its own growth, but for the world.

(The author is President and CEO, Salesforce South Asia. Views are personal.)