Youth occupy an integral part of one country’s demographics. Pakistan has the highest youth bulge with 64% of the population under the age of 30 years and 29 per cent from the age of 15 to 29 years. Shockingly, amongst the given percentage, 11.1per cent of the youth are unemployed according to Pakistan Economic Survey 2023-24. However, 30per cent of the youth are illiterate. As the largest part of the nation’s population, the youth bulge has significant national security implications and an impact on the economic and socio-political landscape of Pakistan. So far, this has not been used effectively as an asset in Pakistan. This article will shed light on the economic impact of youth unemployment on Pakistan’s socio-political landscape and will also discover the possible way forward for utilizing youth bulge for Pakistan’s socio-political and economic development.
Pakistan’s economic growth and development have been hindered by its greater proportion of unemployed youth
To begin with the economic impact, youth unemployment has harsh economic consequences in Pakistan. It is the backbone of the state’s economy because of productivity, innovation, skills, and potential for change and growth. If many young people remain unemployed, there will be stagnant economic growth and a lack of development in the country. Likewise, Pakistan’s economic growth and development have been hindered by its greater proportion of unemployed youth.
In addition, increased poverty levels further destroy the economic conditions of the states and communities. Consequently, there is an increased rate of crimes to meet the basic living conditions of the household. This way, their talent and skills fall into the trap of criminal factions. However, the social welfare programs try to fill the void to some extent to improve the lifestyles of its people. Nonetheless, increased social welfare programs in an economically unstable country further increase the financial burden.
Likewise, economic inequality paves the way to socio-economic indignation and political grievances towards the state’s institutions. That is further fueled by anti-state outfits giving rise to terrorism or insurgency. Moreover, it divides society and intensifies the class system and socio-political differences down casting the national affiliations and collective hopes. Furthermore, the disillusioned youth move abroad to look for better opportunities in other states resulting in brain drain. This inclination for migration for better education and employment opportunities not only undermines national economic development but is also a positive addition to foreign economies and their development. Although remittances are considered to improve the national economy in Pakistan, this is just a shortcut way to boost the default economic conditions.
The lack of inclusive and practical policymaking for the youth opens them up to a lack of interest and engagement with political activities and social cohesion
On top of that, the economically deprived youth get involved in social unrest, protests, and different forms of activism to express their resentment towards government bodies for their failure to address the youth employment problems. Additionally, it also increases radicalization and polarization in the society. Meanwhile, the lack of inclusive and practical policymaking for the youth opens them up to a lack of interest and engagement with political activities and social cohesion. For instance, they may lower the voter turnout or other civil duties. Most importantly, the socioeconomic and political costs impact the young minds’ physical and psychological health. It not only results in a loss of creativity, skills, and talents but also causes dissatisfaction, and increased suicide rates.
It is also a widespread conviction in Pakistan that most people do not end up securing jobs or employment opportunities as per their acquired degrees or personal interests. The failure of this cause is due to the mismatch between skills and education. That’s why the youth is not provided with the required skills as per the job market’s demands and hence fails to meet the standards of workplaces. The reason behind this is also the lack of career counseling and training at schools and colleges. Even at the university level, career counseling cells and the Office of Research, Innovation, and Commercialization (ORIC) neglect their responsibilities to equip students with the demanded skills and knowledge.
The budget for education should be increased to 15-20 per cent with an enhanced portion of the budget for youth skill development and employment opportunities
Pakistan must tackle the impediments to the job creation for Pakistan’s youth bulge. Firstly, the biggest obstacle is the limited budget for youth skill development and empowerment. The demographic pressures and lower budgets compromise the quality of education and permeate the labor market. Only 2 per cent of the GDP is allocated for their education. That is very low in comparison with the global standard from the past 2 decades. The budget for education should be increased to 15-20 per cent with an enhanced portion of the budget for youth skill development and employment opportunities.
The world now needs a more skilled workforce in the fields of technology, Artificial Intelligence, IT, development, tourism, human security, and public policy
The other main reason for such neglect at policy-making levels is the imbalance between the demographics and the employment opportunities. According to the HEC reports, 445,000 graduates pass out from universities every year in Pakistan. Amongst them, almost 30,000 are students of computer sciences and related fields. Still, there are limited job opportunities in emerging sectors. The world now needs a more skilled workforce in the fields of technology, Artificial Intelligence, IT, development, tourism, human security, and public policy. This requires equipping young minds with innovative solutions to address the problems of today’s world. Besides the job opportunities, the economic conditions hinder the way towards businesses and entrepreneurship because that also requires a huge investment of skills, capital, infrastructure, and labor that the current economic conditions of Pakistan fail to provide in most cases.
Secondly, political instability and resistance to government reforms further restrict the policy measures for addressing the youth problems. The Imran Khan regime’s youth-centric policies and government reforms such as the Kamyab Jawan Program attracted the attention of Pakistani youth in the socio-political and economic spheres and encouraged them to contribute to the good of society by training and empowering thousands of young minds.
Pakistan needs to create a job market that synchronizes with the education system and skill-building programs such as Vocational training and Science, Technology, Engineering, and Mathematics (STEM) education. National Vocational and Technical Training Commission (NAVTTC) is an impressive initiative by the government, but it also comes with the authenticity and practicality of its initiated programs. Such proper institutional frameworks shall be designed. Student portals shall be managed and well-maintained. There shall be responsible administration and highly qualified staff, with their ensured accountability. Their affiliation with international organizations is not mandatory but their management as per global education standards is crucial. The youth in the rural areas must be empowered in this regard.
In addition, the government should encourage entrepreneurship and startup programs to empower youth. For that purpose, loans, mentorship, and incubator programs should be introduced. For instance, the CM internship program by Maryam Nawaz Sharif is a wonderful initiative and such initiatives must be promoted at the national level as well. Public-private partnerships must be encouraged in this regard to introduce and effectively regulate apprenticeship, internship, mentorship, and other related government initiatives in collaboration with the private sector.
The internet disruption, social media blackouts or firewalls, and some inaccessible freelancing tools, apps, sites, and services in Pakistan proved to be the biggest hurdle to the digital employment opportunities for Pakistani youth
Furthermore, the government must invest in high-growth sectors as per changing global power dynamics such as the digital economy, green jobs, freelancing, and other such fields that do not require nine-to-five job space. It will equip the youngsters with better employment opportunities and give the state a skilled workforce. Apart from that, the freelancer’s space must be eased out and hurdles must be removed as the internet disruption, social media blackouts or firewalls, and some inaccessible freelancing tools, apps, sites, and services in Pakistan proved to be the biggest hurdle to the digital employment opportunities for Pakistani youth. To boot, labor laws and market reforms should be proposed to make flexible workspace, hiring, and job requirements. It will also promote international collaboration in numerous sectors and attract Foreign Direct Investment.
In short, the youth bulge in Pakistan is a ticking bomb that just needs to be accurately diffused by properly engineered direction to make the best use of it for the national socio-political and economic security. The underlying challenges need to be addressed to create employment opportunities. The economic impacts of youth unemployment necessitate empowering youth with such skills, education, and reforms that are conducive to economic growth, development, and socio-political welfare and cohesion in society. The socioeconomic and political consequences of unemployment in Pakistan may be relieved through effective and comprehensive policy measures and political will. For that purpose, educational and employment reforms, provision of civil rights and liberties, entrepreneurship, job creation, and vocational training programs can pave the way for a better socio-economic and political landscape for the youth of Pakistan. Pakistan can look up to the instances of Germany and South Korea, which used vocational training programs and investment in technology to create a better job market.
Disclaimer: The opinions expressed in this article are solely those of the author. They do not represent the views, beliefs, or policies of the Stratheia.
