India’s socio-economic condition is overwhelmingly informal covering various aspects of life. It is multi-dimensional and perennial in nature. It has age old tradition and experience. For most of the Indians it is way of life, just like agriculture and animal husbandry. Unorganised sector is distinctively pervasive. Product and services of unorganised sector contribute to the life and living of the society all the twenty four hours. The sector also encompasses the treasure of traditional indigenous knowledge. Unorganised economic activities in India are highly diversified. They provide easily accessible variety of goods and services at affordable prices as compared to that of organised sector products. It is source of livelihood and employment for a large number of workforces. More than 90 percent of the workforce and about 50 percent of the national product are accounted for by the informal economy. 10 A large proportion of socially and economically under- privileged section of the society are concentrated in informal activities. Thus faster and inclusive growth of the economy needs special attention to informal economy. This paper is an attempt to identify the role of unorganised sector in the Indian economy with special reference to economic contribution and employment. In the last the paper discusses the weakness of this sector followed by the measures to strengthen unorganised sector in India.