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The Indian education system is now facing many issues that impede its ability to properly contribute to the nation's economic development. Education is a continuous process that cultivates people and society, promoting intellectual, social, and spiritual growth. Originating from the Latin term meaning "to bring up," education is fundamental in shaping humanity's connections with others, the cosmos, and the Creator. In the current situation, education is essential for the enhancement of intellectual capacities and for stimulating the growth and advancement of the Indian economy. The education system must prioritise the development of learners as innovators, scholars, researchers, and educators. In the last century, India has transitioned from using scientific discoveries and industrial methods to enhance output, to now acknowledging education as a crucial driver of productivity development. The post-war period saw a substantial improvement in education, which augmented human capital and led to heightened economic productivity, with two-thirds of U.S. economic development from 1948 to 1973 ascribed to education and innovation. The escalation of international commerce, globalisation, and privatisation has exacerbated economic competitiveness, making education a vital element in improving labour productivity, promoting technological innovation, and assuring sustainable economic development. The recent extensive educational changes are motivated by the pressing need to enhance India's global competitiveness, productivity, and economic prosperity. Robust economic growth in India requires a holistic strategy that amalgamates the significance of education with overarching economic objectives for sustainable development.