Niti Aayog proposes national caregiving policy, regulator to build India’s care economy

Niti Aayog Proposes National Caregiving Policy to Transform India’s Care Economy

Theindiapostdaily.com – New Delhi: The government think-tank has unveiled a comprehensive framework to professionalize India’s caregiving sector, proposing a dedicated regulatory body and national digital platform. This initiative aims to formalize employment for millions of caregivers while addressing the growing demand for eldercare and disability support across the country.

Central to the proposal is the establishment of a National Caregiver Council, which would oversee accreditation, training standardization, and sector regulation. The council is expected to operate under the Ministry of Skill Development and Entrepreneurship, with support from health and external affairs ministries for healthcare standards and overseas employment facilitation.

Demographic Shift Drives Urgent Need for Care Infrastructure

India faces a rapidly aging population that will reshape care requirements over the coming decades. According to projections in the report, the elderly demographic will more than double from 149 million in 2022 to 347 million by 2050, increasing their population share from 10.5% to 20.8%. Additionally, 26.8 million Indians currently live with disabilities, highlighting the critical need for organized caregiving systems.

The economic implications are substantial. India’s care services market, valued at $29.62 billion in 2023, is projected to expand to $72.31 billion by 2030. Experts note that the $20 billion home healthcare segment alone offers significant opportunities for formal employment and increased female workforce participation through structured caregiving frameworks.

Global trends further underscore India’s potential as a caregiving hub. The Organisation for Economic Co-operation and Development estimates that member countries will require 60% more care workers by 2040—equivalent to 13.5 million additional workers. Meanwhile, the World Health Organization projects a worldwide shortage of 11 million health and care professionals by 2030.

“Formal caregiving does not replace the traditional family unit; rather, it complements and strengthens it by providing structured training, respite care, counselling and social support to informal family caregivers,” said Ashok Kumar Lahiri, vice chairman.

Suchita Dutta, executive director of the Indian Staffing Federation, emphasized the importance of integrating flexible staffing models and nationwide skill benchmarks. She noted that millions engaged in paid care services, including eldercare, childcare and home healthcare, remain in the unorganized sector without social security or standardized wages.

Building a Sustainable Care Ecosystem

The proposed policy framework includes professional recognition through a dedicated caregiver cadre, expanded social security benefits, and entrepreneurship support. A National Digital Caregiving Portal would connect caregivers with care seekers, improving service accessibility and transparency.

As India positions itself to meet both domestic and international caregiving demands, the emphasis remains on balancing formalization with cultural values. The initiative seeks to generate skilled employment, increase women’s labour force participation, and establish India as a trusted global provider of trained caregiving professionals.

Frequently Asked Questions

What is the National Caregiver Council? The National Caregiver Council is a proposed regulatory body that would accredit caregivers, standardize training programs, and oversee the professionalization of India’s caregiving sector.

How will the elderly population growth impact caregiving? India’s elderly population is projected to grow from 149 million in 2022 to 347 million by 2050, nearly doubling the demand for long-term care services and creating opportunities for formal employment in the sector.

What is the projected size of India’s care market? India’s care services market is estimated at $29.62 billion in 2023 and is expected to reach $72.31 billion by 2030, reflecting rising demand for organized care services.

How does this policy benefit female workers? The framework aims to formalize millions of women currently working in unorganized care sectors by providing social security, standardized wages, and structured career pathways in eldercare, childcare, and home healthcare.