Unlocking the Future by Investing in People

By

Dr. Anwesha Ghosh

Research Fellow, Indian Council of World Affairs, New Delhi

Let me begin with a story set in undivided India during the late 1930s. Mahendra Kumar Ghosh, one of the sons of the then Zamindar of Noakhali (now in Bangladesh), was a successful lawyer practicing simultaneously at both the Calcutta and Dhaka High Courts. With his family based in Noakhali, that remained his “Basha” (home), while his Calcutta residence was modest — just sufficient to serve as a professional base for the days he spent there each month. However, as the political landscape of the subcontinent began to shift, Mahendra foresaw the growing instability and made the prudent decision to relocate his family to Calcutta in the mid-1940s, uprooting them fr om their ancestral “desh” (country).

Though the move predated the partition of 1947, it had profound socio-economic ramifications for the Ghosh family. The legal practice in Dhaka came to a halt after the partition, and the financial security of the Zamindari inheritance ceased to exist. The struggle to establish a stable foothold in Calcutta began, compounded by the responsibility of supporting a large family. This period also witnessed the migration of countless extended family members, friends, and acquaintances from “desh”, now part of East Pakistan, as they sought refuge in India.

Despite his own financial constraints, Mahendra opened his doors to as many people as possible, offering shelter and helping others find a footing in this unfamiliar land. What stood out during this time was his unwavering commitment to ensuring that the younger generation seeking refuge received an education. He hosted students at his Bhawanipur home in Central Calcutta, supporting them until they completed their studies and found livelihoods of their own. His belief in investing in human capital over material possessions became a defining principle of his life. Hundreds of young men and women became beneficiaries of his vision — a conviction that empowering people through education would yield far greater returns than any investment in property or personal wealth.

Mahendra Kumar Ghosh was not alone in his generosity, but I have seen firsthand the multigenerational impact of his actions on countless individuals and families. Interestingly, he faced criticism from within his own family for not prioritizing their material prosperity. Yet, his conviction remained unshaken — that the true wealth of a nation lies in its people. His quiet, unwavering belief in human potential serves as a powerful reminder that investing in people builds not only individual futures but also the resilience of society at large.

A century later, I find myself reflecting on his legacy, wondering what drove him to prioritize the welfare of unrelated individuals over personal aspirations — especially in the face of resistance from those closest to him. The answer, I believe, lies in his deep-seated faith in the transformative power of human capital. By choosing to invest in people, he sowed seeds of hope and resilience that would bear fruit for generations to come. As I contemplate the importance of investing in people today, his story echoes through time, inspiring me to carry forward this conviction. My hope is that another century from now, my great-granddaughter will continue to place her faith in the boundless potential of human capital, keeping alive this multigenerational belief in the transformative power of investing in people.

Investing in Human Capital: Past, Present and Future of the World

In a rapidly changing world, the most valuable asset any society can possess is its people. Given the advancement and increasing reliance on technologies around the world at present, one may question the over-emphasis on human capital. However, the fact remains the technological advancements that are today reshaping industries and economies are an outcome of investment in human capital. Human capital, therefore, is and will continue to the backbone of any thriving societies and some of the areas that would need special thrust are as follows:

Why and how to prioritize in human capital?

History demonstrates that countries that prioritize investments in education, skills development, and healthcare have experienced higher levels of economic competitiveness and social well-being. It is imperative for the world to develop unique and evolved approaches as well as effective tools to attract investment in human capital. For example, collaboration between governments, private sector, and non-profit organizations can pool resources and expertise to fund education, vocational training, and health initiatives. Public-Private Partnership (PPPs)s can improve access to quality services while leveraging private sector efficiency and innovation. Governments can create favorable policy environments by offering tax incentives, grants, or subsidies to businesses that invest in employee training programs or health benefits. Clear regulatory frameworks that promote gender equality, labor rights, and lifelong learning further encourage investment in human capital. Investments in education technology, skills development platforms, and community health programs align with the growing demand for sustainable and socially responsible investment opportunities. The future job market will increasingly demand digital literacy, problem-solving abilities, and adaptability. Investing in vocational training, lifelong learning programs, and digital education ensures that individuals remain competitive and capable of meeting the demands of the evolving societies. The Covid 19 pandemic, a few years back had shown the world the digital literacy would be an essential component of human existence. Governments can collaborate bilaterally in the field of education and capacity building initiatives. Through building comprehensive education and training ecosystems, countries will not only will be able to connect to academic institutions, businesses and policymakers, but also, can bridge the skills gap and enhance people to people contact, which will impact the bilateral relations between countries and strengthen economies through skilled human resources.

Educational Transformation: Redefining Learning Experience

Today, new technologies are revolutionizing education by transforming traditional learning methods into more dynamic, accessible, and personalized experiences. Digital tools such as e- learning platforms, virtual classrooms, and interactive educational apps enable students to access information anytime and anywhere, breaking down geographical barriers. Artificial Intelligence (AI) and adaptive learning systems personalize education by tailoring content to individual learning speeds and preferences, helping students grasp complex concepts more effectively. Additionally, multimedia resources like videos, simulations, and gamified lessons make learning more engaging and interactive, enhancing knowledge retention and critical thinking skills. These technologies have opened up new possibilities, making education more inclusive and flexible. Moreover, collaborative technologies like video conferencing, cloud-based platforms, and social learning networks are reshaping how students and educators interact. These tools promote teamwork, global connectivity, and peer-to-peer learning, preparing students for the demands of a digital workplace. However, the digital transformation of education also highlights the importance of bridging the digital divide, ensuring equal access to devices and internet connectivity.

Breaking Barriers: Overcoming the Digital Divide for a Fairer Future

Digital divide, i.e the gap between those with access to digital technologies and those without, poses a significant barrier to equal opportunities in today's digital era. Bridging this divide requires ensuring affordable and widespread access to the internet, especially in rural and underserved communities. Governments should invest in digital infrastructure, such as expanding broadband networks and providing free Wi-Fi zones in public spaces. Additionally, distributing affordable digital devices like laptops and smartphones to marginalized groups can empower them to participate in the digital economy. Public-private partnerships can play a key role in funding these initiatives, making digital access more inclusive and equitable. Alongside access, digital literacy is essential to overcome the digital divide. Educational programs that teach digital skills from an early age, particularly in low-income communities, can help individuals use technology effectively. Providing training for adults on using digital platforms for employment, communication, and financial services can also promote social and economic inclusion. Special attention should be given to vulnerable groups, including women, elderly people, and persons with disabilities, to ensure no one is left behind. By fostering digital education and promoting equal access to technology, societies can unlock opportunities for all, empowering individuals to participate fully in the digital economy and bridging the gap between different social groups.

The Future of Work: Assessing AI's Impact on the Labor Market

Artificial Intelligence (AI) has brought a paradigm shift in the way the world operates today. It is reshaping the present and future labor market by revolutionizing how businesses operate and the types of jobs available. One of the significant impacts of AI is automation, wh ere routine and repetitive tasks are increasingly performed by machines, reducing the demand for low-skilled jobs. Several sectors are already experiencing job displacement due to AI technologies. However, this shift also creates new job opportunities in fields like AI development, data analysis, cybersecurity, and robotics. The demand for workers with digital skills and technological literacy is expected to rise, making reskilling and upskilling essential to ensure that the workforce remains competitive in the changing job market. On the other hand, AI has the potential to enhance productivity and create more flexible working environments. Collaborative AI systems will allow humans and machines to work together, boosting productivity in sectors like healthcare, finance, and education. However, the rise of AI may also widen income inequality and create ethical concerns related to job security and privacy. Therefore, governments, businesses, and educational institutions must adopt inclusive policies that promote lifelong learning, social protections, and ethical AI practices to ensure that the benefits of AI are distributed equally across society. The future labor market will depend on how effectively societies adapt to these technological changes.

Critical Global Challenges that need more focused attention

While it is important to look ahead and think about the future, it is equally important to address the major challenges the world faces today, foremost, being youth unemployment. Comprehensive strategies to create sustainable job opportunities for young people globally is the need of the hour. One effective approach is investing in education and skills development to equip youth with the knowledge and competencies demanded by the labor market. Governments and institutions should promote vocational training, apprenticeships, and technical education programs that align with industry needs. Career counseling, internships, and mentorship programs can also help bridge the gap between education and employment, preparing young people for the transition into the workforce. Additionally, fostering digital literacy and entrepreneurial skills can empower youth to explore self-employment opportunities in the evolving job market. Secondly, an effective demographic policy for an aging population is urgently needed. The focus should be on fostering social, economic, and healthcare systems that support the well-being of older citizens while ensuring sustainable development. This involves promoting active aging through lifelong learning, flexible retirement policies, and opportunities for elderly employment to keep them engaged in the workforce. Governments should invest in accessible healthcare services, including preventive care and long-term care infrastructure, to address the rising healthcare needs of the elderly. Additionally, social protection systems such as pensions and affordable housing must be strengthened to ensure financial security. Thirdly, conflicts, instabilities, climate change and lack of economic opportunities have resulted in widespread migration around the world and migration as an issue will continue to remain relevant. Migrants play a significant role in shaping economic development, presenting both challenges and opportunities for countries. One of the key opportunities is the contribution of migrants to the labor market, filling skill gaps and boosting productivity, especially in sectors facing workforce shortages. Migrants also promote cultural diversity, innovation, and entrepreneurship, which can enhance economic growth. Additionally, remittances sent by migrants to their home countries serve as a vital source of income and help alleviate poverty. However, migration also poses challenges such as pressure on public services, housing, and infrastructure in host countries. Social integration and discrimination can further hinder the full potential of migrants, therefore effective migration policies are the need of the day.

Fourthly, although, most countries around the world are grappling with serious challenges domestically and internationally and very rarely has the luxury of focusing aspects such as healthy lifestyle of its people at the micro-level, it remains an important issue. Promotion of healthy lifestyle enhances productivity and quality of life, resulting in long-term economic benefits. Healthier individuals are more likely to perform better at work, take fewer sick leaves, and remain active in the workforce for longer periods. Governments and employers need to invest in health promotion programs and workplace wellness initiatives to foster a healthier and more motivated workforce. However, achieving widespread adoption of healthy habits requires accessible health education, affordable fitness options, and equal opportunities for all social groups. By prioritizing the popularization of a healthy lifestyle, societies can not only improve public health but also promote sustainable economic development and social well-being. Finally, the importance of values and tradition are increasingly getting less emphasis in discourse pertaining to future of societies when the fact it these are crucial attributes super for maintaining the long-term survival, stability, and well-being of a generation. Values and traditions act as guiding principles that shape people's behavior, decisions, and relationships; all of which will have a direct or indirect impact on the population's growth, health, and survival in the days to come.

Conclusion

Unlocking the future by investing in people is a transformative approach that lays the foundation for sustainable development and shared prosperity. Education, healthcare, and skill development are pivotal investments that empower individuals, strengthen communities, and drive economic growth. By prioritizing equity and inclusion, societies can harness the full potential of their human capital. As the world faces unprecedented challenges and opportunities, the path to a better future lies in placing people at the heart of development strategies. Investing in people today is the most profound investment in a brighter future.

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About the Author: Dr. Anwesha Ghosh is currently a Research Fellow at the Indian Council of World Affairs (ICWA) in New Delhi. Prior to her role at ICWA, she served as a Lecturer at the Willy Brandt School of Public Policy at the University of Erfurt, Germany. Dr. Ghosh earned both her Doctoral and Post-Doctoral degrees in Peace and Conflict Studies from the University of Erfurt, Germany. She completed her MPhil at the Institute of Foreign Policy Studies in Kolkata and holds dual Master’s degrees in History and Development Studies from the University of Calcutta and the University of Rome, La Sapienza, respectively. With over a decade of research experience, Dr. Ghosh specializes in Afghanistan and has a keen interest in migration, diaspora, India’s foreign policy and aid diplomacy. She has authored several books, including Identity and Marginality in India: Settlement Experiences of Afghan Migrants (Routledge: London & New York, 2020).