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NEW DELHI – India’s care economy is on the brink of a massive transformation, with the potential to expand by nearly $300 billion and generate 60 million new jobs by 2030.
A landmark report released on Monday, January 5, 2026, by Primus Partners, highlights a critical shift in India’s socioeconomic landscape. As urbanization accelerates and family structures transition from joint to nuclear, the demand for formal childcare, eldercare, and rehabilitation services is skyrocketing. Experts suggest that formalizing this “invisible” sector—currently dominated by informal, often unpaid labor—could not only drive the economy but also significantly improve health outcomes for millions of Indians.
The Shift from Hospitals to Homes
The report, titled “The Care Economy Boom: A $300 Billion Opportunity Set to Generate Over 60 Million Care Jobs by 2030,” identifies care services as one of the country’s most undervalued high-growth sectors. Currently, the sector employs approximately 36 million people, yet the majority work without formal contracts, certifications, or social security.
“As care shifts from hospitals to homes, skilling and certifying the care workforce will be critical to both health outcomes and employment,” said Prof. Sanjay Zodpey, President of the Public Health Foundation of India (PHFI). This transition is fueled by a growing elderly population and a rising burden of chronic diseases that require long-term, specialized attention rather than short-term hospital stays.
Mapping the 13 “Care Personas”
The Primus Partners study categorizes the workforce into 13 paid care personas, illustrating the diversity of the sector:
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Entry-Level: Domestic workers, elder sitters, and beauty assistants.
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Semi-Skilled: Childcare assistants, rehabilitation aides, and special-needs caregivers.
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Skilled Professionals: Certified nursing assistants (CNAs), mental health counselors, and palliative care workers.
A Public Health Imperative
The implications of this expansion extend far beyond economics. For the general public, a formalized care economy means safer, more professional services for vulnerable family members.
Dr. Pramod K., Chief Executive of Alliance India, emphasized that a structured care workforce is essential for managing India’s long-term health needs. “From chronic diseases to mental health and palliative care, a structured care economy can improve health outcomes while creating dignified jobs,” he noted.
The Gender Dimension
A significant portion of the report focuses on the gendered nature of care work. In India, women spend significantly more time on unpaid care than men. This “double burden” of domestic duties and professional work often leads to poorer health outcomes for the caregivers themselves, including higher rates of burnout and mental health struggles.
Dr. Meenakshi Hembram, Additional Director (HQ) and Head of Office at the DGHS, Government of NCT of Delhi, stated that recognizing this work through fair wages and social security is a matter of equity. “Women form the backbone of India’s care economy, but they remain disproportionately affected by informality,” she said.
The Economic Engine: $300 Billion and 60 Million Jobs
Unlike capital-intensive sectors like manufacturing, the care economy is labor-intensive and resilient to automation. Care cannot be easily replaced by AI; it requires human empathy, physical presence, and nuanced decision-making.
Nilaya Varma, Group CEO of Primus Partners, argues that care should be viewed as “essential economic infrastructure” rather than a social service. By formalizing these roles, India can unlock productivity gains and create a sustainable growth pathway that benefits Tier 1, 2, and 3 cities alike.
“The care economy is no longer a peripheral social issue; it is emerging as a significant source of employment and economic value.” — Prof. V. K. Malhotra, Chairman of the Food Commission of Madhya Pradesh.
Challenges and Counterarguments
While the $300 billion figure is promising, reaching it requires overcoming significant hurdles:
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Lack of Regulation: Without a central regulatory body, the quality of care remains inconsistent.
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Wage Stagnation: Many caregivers remain stuck in low-wage roles without a clear path for career progression.
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Cultural Barriers: In many parts of India, there is still a social stigma associated with “outsourcing” care for the elderly, which may slow the adoption of formal services.
Critics also point out that government spending on the care economy currently sits at less than 1% of GDP. Without a substantial increase in public investment and mission-led governance—which the report calls the NURTURE framework—the goal of 60 million formal jobs may remain out of reach.
What This Means for You
For the average Indian family, the formalization of the care economy could mean:
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Access to Certified Care: Peace of mind knowing that a “nanny” or “elder sitter” has undergone standardized training and background checks.
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Improved Life Expectancy: Better home-based management of chronic conditions like diabetes or dementia.
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Economic Opportunity: New career paths for youth in semi-skilled and skilled medical support roles.
As India prepares its upcoming policy cycles and Union Budget, the care economy is no longer just a “home issue”—it is a national priority.
Reference Section
https://www.daijiworld.com/news/newsDisplay?newsID=1302807
Medical Disclaimer: This article is for informational purposes only and should not be considered medical advice. Always consult with qualified healthcare professionals before making any health-related decisions or changes to your treatment plan. The information presented here is based on current research and expert opinions, which may evolve as new evidence emerges.
