Disaggregating the Graduate Unemployment in Pakistan

Henna Ahsan and Muhammad Khan
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Henna Ahsan: Pakistan Institute of Development Economics

No 2023:100, PIDE Knowledge Brief from Pakistan Institute of Development Economics

Abstract: In Pakistan, graduate unemployment is becoming a serious challenge as it is almost three times the average unemployment rate in the country. There are four major reasons for this trend; first a high disparity between the education offered and the need of the economy to accommodate these graduates. Second, a weak university-industry linkage, means that graduates being produced are not what is being demanded by the industry. Third, the increased number of people looking for jobs increases the labor force. Finally, the shrinking state of the economy; and macroeconomic imbalances. According to World Bank, Pakistan is ranked 63rd out of 163 countries on the University-Industry linkages index. Pakistan is even lagging behind India (26th rank) and Sri Lanka (53rd Rank). This shows that the state of our graduate unemployment is quite alarming.

Keywords: Graduate; Unemployment (search for similar items in EconPapers)
Pages: 8 pages
Date: 2023
New Economics Papers: this item is included in nep-mfd
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