Pakistan’s economy teeters on the brink, burdened by massive debt and stalled growth. A new report reveals a stark reality: the country’s much-touted demographic dividend is morphing into a demographic disaster. At the heart of this crisis lies a glaring skills mismatch among the youth, fueling unemployment and social unrest.
Every year, Pakistan produces around 800,000 university graduates, yet many struggle to secure jobs even in high-demand markets like Japan and South Korea. The reason? Their skills don’t align with global standards. Certified technical expertise, language proficiency, and internationally recognized qualifications remain elusive for most.
Drawing from insights by the National Assembly’s Standing Committee on Overseas Pakistanis and Human Resource Development, the report highlights how Pakistani degrees often fail abroad. Vocational training lags far behind global benchmarks, leaving graduates unprepared.
Experts urge a curriculum overhaul, aligned with industry needs and international labor demands. Focus areas should include technical and vocational programs tailored for economies like Japan and South Korea. Universities must bridge the gap between academia and market realities through structural reforms, not piecemeal fixes.
Compounding the issue, Pakistan allocates just 1.9% of GDP to education—well below the recommended 4-6%. Over 26 million children are out of school, and curricula offer scant exposure to digital skills, critical thinking, or applied learning. A survey shows 64% of graduates face job hurdles due to skills shortages, with youth unemployment hovering near 31%.
Low research funding, misaligned higher education, and poorly trained teachers exacerbate the problem. Without bold changes, Pakistan’s young workforce risks being sidelined in a tech-driven world, perpetuating economic stagnation and instability.