KARACHI:
Unemployment in Pakistan has remained a significant issue, particularly in recent years. The current economic downturn, exacerbated by the global pandemic and political instability, has led to an alarming rise in joblessness. According to estimates, Pakistan’s unemployment rate in 2023 hovers around 6.5%, but the figure is likely higher due to underemployment and informal sectors that go unreported.
This is especially concerning for the youth, with over 64% of Pakistan’s population under the age of 30, as many struggle to find meaningful employment despite having educational qualifications. Key factors contributing to Pakistan’s unemployment crisis include slow industrial growth and a mismatch between education and market demands. The country’s education system often fails to equip graduates with the skills needed for a modern economy particularly in fields like technology and engineering. Additionally, political instability and poor economic policies have hindered investment and job creation in crucial sectors like manufacturing, agriculture and services. The situation has been worsened by rising inflation and a high cost of living, which puts further strain on the unemployed and their families. Pakistan’s social safety nets are also limited, leaving many vulnerable to poverty as they search for work. While government programs aimed at increasing employment have been introduced, they have not yet had a substantial impact on the overall unemployment rate.
Addressing unemployment in Pakistan policy reforms that focus on boosting industrial growth and promoting private sector investment. It is vital to create more job opportunities, especially for the youth, and ensure that the workforce is adequately skilled to meet the demands of a modern economy.
Farheen Abbas
Islamabad
