Credit: Special Arrangement
Imagine this: in Delhi's Trilokpuri neighbourhood, 22-year-old Nikhil, a graduate from Netaji Subhas University of Technology, runs a growing 3D printing venture that serves customers in the medical and aerospace sectors, earning Rs 1.5–2 lakh monthly and employing his father, who left a tiring export job. More than a thousand kilometres away, in a bustling Mumbai suburb, another 22-year-old sits at her laptop, sending out her fiftieth job application of the month, each one met with silence. In Lucknow, a 26-year-old pores over notes late into the night, preparing for her fourth attempt at the civil services exam, her dream, but also her only perceived path to a stable future.
All three are equally educated, equally ambitious, and equally part of the world’s youngest country. The difference lies not in their potential, but in the opportunities they are encouraged, or enabled, to create.
On India’s 79th Independence Day, Prime Minister Narendra Modi’s address urged the nation’s youth to step up as contributors, builders, and drivers of growth. Evidently, the nation’s progress depends not just on those seeking jobs, but also on those who take the initiative to work hard, be productive, and create opportunities for themselves and others. The time has come to challenge the old narrative of waiting for security and stability; in today's world, driven by AI, enterprise, problem-solving, and meaningful work have become essential.
Every year on World Entrepreneurs Day (August 21), we celebrate trailblazers and industry leaders who redefine what it means to build a new-age startup. Yet, too often, the word entrepreneur is confined to the glitzy world of venture-backed startups. Rarely do we look beyond these polished spaces and into bustling classrooms, narrow bylanes or small-town mandis, where a quieter but equally transformative wave of entrepreneurship is taking root. If you listen closely, you can hear the creative swirl, whether in a homebaker's little kitchen, on a digital artist’s tablet or in the animated conversation between two friends setting up a local tailoring unit. This isn’t just a hustle for employment, but a movement towards creation, fueled by the dreams of the world’s youngest workforce and their hunger to transform India.
At the crossroads
India, in fact, stands at a crucial juncture. Our demographic dividend has positioned us as a global force, with two of every three citizens being under the age of 35. This translates into over a million young Indians stepping into the job market every month. Yet, traditional avenues of employment struggle to keep pace with this surge of talent.
For most of us, the word “job” conjures images of security, stability, and a clear path to personal progress. But the reality is stark: only about 10% of India’s workforce enjoys the stability of a formal, salaried job. For the remaining 90%, work is neither secure nor predictable. It is often precarious, poorly paid, and lacking the safety nets needed to turn hard work into lasting prosperity.
Even within the formal sector, underemployment and skill mismatches persist, leaving many educated young people searching for opportunities that can truly use their potential. As economist Amit Basole noted, “our growth story has not translated into a jobs story.” In fact, recent analysis found that young people make up 83% of India’s unemployed, and the share of educated youth among the jobless has risen strikingly. In short, millions of capable young Indians are ending up in irregular, unstable work or are being sidelined altogether.
This sharp gap underlines a national urgency; India simply cannot keep routing every new graduate or labourer into existing jobs. If nothing changes, millions more will end up either underemployed or trapped in low-productivity informal work. The title of “job-seeker” is increasingly disconnected from our times. Faced with these daunting challenges and a rapidly shifting economy, young India is beginning to ask a far more radical question: If the job doesn’t exist, why not create it?
Needed: A mindset shift
Who counts as an entrepreneur today? It could be the street-food vendor who expands her reach through mobile delivery, or the YouTuber bringing his regional language to a global audience. Across the country, people are proving that “value creation” is not some distant corporate ideal, but it can happen wherever someone sees a need and steps in to meet it.
Such thinking begins with a mindset shift. India must learn to celebrate and nurture job creators, not just job seekers. This shift has to start early, in our schools and across our society, so that we do not continue pushing millions of young people into years of preparing for exams with a less than one per cent success rate. We must embrace the democratisation of entrepreneurship, a broader, more inclusive definition that goes beyond Bengaluru’s unicorns or Silicon Valley–style tech startups to recognise the vast and dynamic world of grassroots enterprise that already powers livelihoods for millions.
For instance, there is a “home-baking revolution” that bubbled in India after lockdown hobbies spawned thousands of “micro-bakeries” that run from kitchen tables. Likewise, India’s rich artisan economy, on which around 200 million people rely on, is a hidden engine of entrepreneurship. When these craftspeople and small-scale producers blend tradition with commerce, running businesses out of home or village workshops, they innovate a new way for impact.
Yet despite this creative spirit, India’s youth have been conditioned to play it safe. Research reveals a worrying contradiction: while approximately 81% of young Indians believe they have the skills to launch a business, only 20% actually intend to take the plunge, held back by risk aversion and a deep fear of failure. To achieve this mindset shift, India needs systemic reforms and investments that nurture entrepreneurship as a viable path. A few priorities stand out:
1. Entrepreneurial education and mindset: We cannot expect entrepreneurship to suddenly flourish in early adulthood if young people have never been exposed to problem-solving or creative risk-taking in their formative years. Schools and colleges should lay the foundations of entrepreneurial skills and mindsets just as they teach math or history, as a respected discipline. This could be particularly significant in Tier-2 and Tier-3 towns, where young people often face the greatest job constraints and are left with no option but to migrate to cities, even though they possess unique insights into their local communities’ challenges and opportunities.
2. Accessible micro-capital, rooted locally: For young founders, the challenge is rarely ideas; it is finance. While schemes like PM Mudra Yojana have opened doors, access remains uneven, particularly in rural and informal sectors. A promising step could be rural incubation hubs that pair micro-capital with mentorship anchored in local economies such as agro-processing, renewable energy, or crafts. These hubs should move beyond just business plans and equip youth with financial literacy, marketing know-how, and other resilience skills to navigate early setbacks. They should also create pathways for internships and apprenticeships with local businesses, giving young people practical experience and stronger roots in their communities.
3. Digital and AI literacy: In today’s world, even a local grocery store owner must navigate online markets to stay competitive. From digital payments to online storefronts and social media marketing, technology has become inseparable from enterprise. Building widespread digital and AI literacy can demystify these tools and equip young entrepreneurs with essential skills to thrive. Making digital education freely and easily accessible will not only boost productivity but also make entrepreneurship a more viable and attractive path for India’s tech-savvy youth.
4. Cultural risk-aversion and the lure of “safe” jobs: In India, the pull of safe jobs often outweighs the allure of entrepreneurship. From families to entire communities, young people are repeatedly told to choose stability over uncertainty. This cultural risk aversion, stemming from an understandable path dependency, is quietly holding the country back from fully capitalising on its demographic dividend.
To break through this barrier, public narratives must shift. More movies, popular culture, and social media content that shine a light on job creators, especially those whose ventures positively impact many lives, can normalise entrepreneurship as a respected aspiration. When society applauds enterprise and views failure as a stepping stone rather than a setback, young people will feel empowered to pursue ventures that truly generate jobs.
To build, not just to seek
The story of India’s economic future will not be penned solely by policymakers or corporate boardrooms but will be forged by the bold and the determined who dare to build from scratch. It is time we stop measuring success by how many jobs were secured and start measuring it by how many jobs were created. True progress is when a young person can say with pride, “I created a job,” for themselves or others.
However, this potential faces a real challenge. India’s economy is supported by over six crore micro, small, and medium enterprises (MSMEs), but roughly 90 per cent of these are self-employed units that largely remain small and struggle with productivity and growth. Many have existed for years without scaling or formalising, held back by limited access to capital, technology, and skills. Addressing this issue requires targeted policies and ecosystem support to help these grassroots enterprises not only start but also expand and sustain their impact.
This mindset is not merely an ideal; it is a necessary response to India’s complex realities. By cultivating this spirit, expanding access to capital rooted in local markets, providing mentorship and practical training, and crafting policies that truly support innovators, we can unleash a generation of creators.
Just imagine the ripple effect of new livelihoods emerging in every village, town, and city, fueling waves of growth and prosperity embedded in respect for India's unique fabric. By sharing these stories, we do more than grow the economy; we ignite a new culture that will define the future for generations to come.
Venkatesh Raghavendra is a global social entrepreneur working on issues such as safe water, youth entrepreneurship and other areas of social impact. Mekin Maheshwari is the CEO and Founder of Udhyam Learning Foundation, a youth entrepreneurship-focused non-profit. Pragya Raj Singh is a social entrepreneur working on issues such as safe water and entrepreneurship.