India faces a unique challenge with one of the world’s lowest female labour force participation rates and a large informal workforce. As nearly 50 million young women remain neither in education nor employment, it is crucial to bridge the gap between available jobs and the skills required by the market. While the government has led the charge in skilling efforts, the private sector holds immense potential to play a pivotal role in this ecosystem. Despite efforts through initiatives like the National Skill Development Corporation (NSDC), only 36% of companies in India currently conduct in-house training. Barriers such as societal norms, mobility restrictions, and lack of awareness particularly hinder women’s participation in vocational training. To address these gaps, there is a need for stronger private sector engagement in skill development and workforce placement. By mobilising Corporate Social Responsibility (CSR) funds, creating local infrastructure, and offering financial and non-financial support for entrepreneurship, the private sector can foster inclusive growth. Additionally, businesses can leverage their networks to connect disadvantaged groups with market opportunities, offering targeted placement support to enhance women’s participation in the workforce. Unlocking India’s latent talent through collaboration between government and private enterprises will help build a more skilled, diverse, and employable workforce, ensuring sustainable economic growth and increased female labour force participation.

The Indian skilling ecosystem has seen significant investment to position the country as a global skill capital. However, despite these efforts, India continues to face challenges in female labour force participation (FLFP). Evidence shows that over half of women outside the workforce express a desire to gain skills for employment, yet they face multiple barriers such as limited access to training, gender-normative course selections, and poor job retention. This brief explores the gaps in India’s skilling ecosystem, highlighting the need for gender-inclusive training programmes, better data collection on women’s participation, and addressing structural barriers that impede women’s progress from training to employment. Key recommendations include creating gender-responsive infrastructure, offering tailored curricula for women, and improving post-placement support to ensure higher retention in the workforce. By addressing these challenges, India can maximise the potential of skilling programmes to enhance women’s economic empowerment and drive inclusive economic growth.