A Greying Globe

In India, the population in the 15-24 age group has grown from 175 million in 1995 to 210 million in 2005. India is expected to reap the benefits of its comparatively young workforce, through what is being called its ‘demographic dividend’.

AGEING FAST

The world’s population is estimated to be approximately 6,555 million (mid-2006 figures), of which around 7 per cent are in the 65+ age group. Significantly, the developed countries have about 15 per cent of their population in the 65+ group. But the numbers in Africa and Asia are, tellingly, low.

North America 12%

Europe 15%

Africa 3%

Asia 6%

India 4%

China 8%

TOTAL FERTILITY RATE

The global Total Fertility Rate* varies significantly between developing and developed countries

Nigeria 2.7%

Argentina 2.4%

Brazil 2.3%

India 2.9%

Western Europe 1.6%

US 2%

* Children per woman

Interestingly, the TFR of countries in the Middle East and North Africa (MENA) is also on the decline thanks to changes in marriage and childbearing practices.

(Courtesy: Population Reference Bureau)

IMF’S CONCLUSIONS

The International Monetary Fund, in its World Economic Outlook 2004, predicted that the global population growth will continue to slow and the populations continue to age. IMF also anticipates a significant decline in the working population in Russia and China, while steady increases are expected in India and Nigeria.

The obvious financial implication is the need to support an increasing number of retirees and the cost of healthcare, while a shrinking workforce poses serious questions about employment, especially in agriculture.