Applied mathematics deals with the process of applying mathematics to problems that may arise in various walks of life like engineering, science or other diverse areas. It also deals with the development of new or improved methods to meet these challenges. Applied mathematics involves applying mathematics to real-world problems with the combined goal of explaining observed phenomena and also predicting new or yet to be observed, phenomena. Therefore, it emphasises both the aspects of mathematics, that is, the development of new methods to meet the challenges of new problems, and the real world. These problems arise from various areas of study, such as biological and physical sciences, engineering, and social sciences.

The solutions to these problems require knowledge of different branches of mathematics, such as differential equations, analysis, and stochastics, utilizing analytical and numerical methods. This subject equips the aspirants with skills like critical thinking, problem-solving, analytical thinking, and quantitative reasoning, the ability to manipulate precise and intricate ideas, to name a few. These skills are important because they help in solving mathematical problems in areas such as underground water pollution, traffic jams, inflation, unemployment, and climate change.