IMF warns of 36 percent unemployment rate among educated youth

The International Monetary Fund has raised alarm over Bangladesh's unemployment crisis affecting its educated youth, with the organisation citing a jobless rate of 36 percent among this demographic group. The high figure reflects a persistent gap between the qualifications held by young professionals and employment opportunities available in the domestic labour market.

The unemployment among educated youth represents a substantial waste of human capital and poses risks to social stability and economic growth. The phenomenon is not unique to Bangladesh but has become increasingly pronounced as the country's education sector has expanded faster than job creation in formal sectors.

Analysts point to multiple contributing factors, including a mismatch between skills taught in educational institutions and those demanded by employers, limited absorption capacity in the formal job market, and geographic concentration of opportunities in major urban centres. Brain drain, as educated Bangladeshis seek employment abroad, further compounds the challenge.

The IMF's assessment underscores the urgency for Bangladesh to address structural issues in its labour market and education system. Policymakers face pressure to enhance vocational training programmes, promote entrepreneurship among youth, and facilitate private sector expansion to generate quality employment opportunities aligned with the country's growing pool of educated workers.