This report compares the achievements of the People’s Republic of China (PRC) and India in human capital development in the past 5 decades (1960-2010) and identifies the factors behind the similarities and differences between them. It highlights the high-level policy lessons and insights that are crucial in addressing the remaining gaps between the PRC and India, and in shaping their future human and economic developments. The human capital development lessons that can be learned through this assessment of the past experience of these two countries are not only critical for improving their productivity and innovation for continued development but are also valuable for other developing economies as well.

While human capital is a multidimensional concept covering a set of health- and education-related characteristics that contribute to worker productivity, this report focuses largely on the quantity and quality of education, training, and skills of the labor force in the PRC and India at the national level, and to some extent at the regional level. Health and other important aspects of human capital are beyond the scope of this report.

Representing around 40% of the working-age population of the world and 37% of the total population of the world, the issues related to human capital development within the PRC and India are numerous and diverse. Many of these issues are best tackled in country specific contexts. This comparative report only tackles major human capital development achievements and broad-based challenges that are common to both countries, and presents policy options for addressing these challenges.