RASTA: Local Research, Local Solutions: Human Capital and Opportunities, Volume Xiii

Youth unemployment is a critical public policy issue that has been extensively examined in developed countries. However, there remains a scarcity of public policy research addressing this problem in the context of developing nations. In a similar vein, the youth unemployment phenomenon is also underresearched in Pakistan. In particular, there is a scarcity of research that examined the causes, nature, and consequences of youth unemployment in Balochistan, Pakistan—therefore this study aims to address this research gap in Balochistan and explore the nature, causes, and consequences of unemployment in Balochistan. In Balochistan, young people have borne a disproportionate burden of limited job opportunities, rising poverty, and insufficient human capital. To address this pressing issue, this study investigates the phenomenon of youth unemployment in Balochistan and offers action-oriented policy recommendations to the government, policymakers, and stakeholders. Employing a mixed-method research design, the study collected qualitative data through semi-structured interviews with students (n=31), employers (n=8), and key informants (n=10), including public policymakers, representatives of international development agencies, employers, and youth of Balochistan. Additionally, a cross-sectional design was adopted for quantitative analysis, surveying unemployed youth (n=101) and employers (n=38) in the region. The study findings reveal that the nature of unemployment primarily stems from the scarcity of job opportunities, especially for university graduates, leading to significant disparities between rural and urban employment prospects. Many young individuals from rural areas are compelled to migrate to cities in search of livelihoods, which further strains the urban job market and leaves rural regions with limited employment options. The causes of unemployment in the region encompass a mismatch between career aspirations and available jobs, a lack of employable skills due to the formal education system, cultural pressures prioritising early marriages over career pursuits, limited financial opportunities for entrepreneurship, a substantial government footprint in the job market, and regional disparities in job concentration. These factors have diverse consequences, including hindering economic growth, exacerbating gender inequalities, fostering social challenges, resulting in the loss of skilled human capital through migration, and fuelling animosity against the state, leading to the insurgency. Addressing youth unemployment in Balochistan necessitates a comprehensive approach that promotes job creation, enhances education and technical skills training, encourages entrepreneurship, implements policy reforms, and challenges cultural norms that hinder workforce participation. By adopting evidence-based strategies, policymakers and stakeholders can effectively tackle this complex problem and pave the way for a brighter economic future for Balochistan.