Originally posted in The Business Standard on 30 January 2025
Bangladesh’s youth face a growing NEET crisis, with millions unemployed and under-skilled. Tackling the stigma around vocational education and providing more targeted opportunities is key to unlocking their potential
Despite the immense potential of Bangladeshi youth, the country is currently facing a significant challenge: a substantial portion of the youth are classified as NEET (Not in Education, Employment, or Training). This metric tracks individuals who are unemployed and are neither pursuing training programmes nor education to improve their situation. The youth unemployment rate, compared to the overall national unemployment rate, is disproportionately high. Currently, 7.2% of Bangladesh’s total youth population is unemployed, accounting for 78.9% of the total unemployed population.
A report by the Bangladesh Bureau of Statistics (BBS), based on the National Labour Force Survey 2023, also highlights that 31.5% of unemployed youth have pursued higher education. This is particularly alarming when the employability of undergraduate and postgraduate degrees is considered. The NEET issue among youth is a multidimensional problem, with several interrelated factors contributing to the situation. For instance, in Bangladesh, there is a social stigma associated with pursuing technical education. Having a master’s degree is often equated with academic excellence, regardless of its practical implications. Consequently, many young people face skill mismatches as they pursue degrees in disciplines with little relevance to the job market.
Another challenge arises from the outdated curricula and exam structures in most universities, even in disciplines considered marketable. These systems prioritise rote learning over understanding and practical application, making it increasingly difficult for graduates to escape unemployment in the context of a rapidly evolving global job market.
Traditional gender norms also play a significant role in perpetuating NEET, as 61.7% of NEET youth are women. Many women do not enter the workforce after graduation due to societal expectations surrounding their roles. Interestingly, the proportion of NEET youth is higher in urban areas than in rural areas. Rural youth are less likely to hold preconceived notions about certain jobs and are more likely to engage in informal employment.
Bangladesh is currently experiencing a demographic dividend, with a high proportion of its population being young. Effectively utilising this demographic advantage is crucial for ensuring sustainable development for future generations. However, the high rate of NEET poses a significant challenge, and bridging the gaps in employment accessibility for this population is imperative.
One of the most effective strategies to address this issue is to expand the availability of technical and vocational education while subsidising Technical and Vocational Education and Training (TVET) at the government level. This includes dismantling the stigma associated with vocational education through media campaigns and establishing more polytechnics and vocational training centres catering to niche skills. Support from non-governmental organisations would also be invaluable in this regard. It is essential to highlight the employment opportunities available through technical and vocational education to encourage more youth, particularly educated but unemployed urban youth, to enrol.
Vocational training centres tailored to Bangladesh’s specific needs, such as agricultural training institutes, should be increased. These institutions must be publicised at the state level. Alternative educational pathways, such as online learning platforms, should also be expanded to streamline access to need-oriented education. Financial support and subsidies for students from underprivileged and marginalised backgrounds are critical, as NEET rates are particularly high in these communities due to their lack of access to information and education.
A key step in addressing NEET is eradicating information asymmetry in the labour market. This can be achieved by ensuring greater transparency in the recruitment process and providing clear information about job roles, as applicants often face challenges in this area. Addressing gender dynamics is also essential to reducing the high NEET rate among women, who form a significant proportion of this group.
NEET is one of the most pressing issues affecting Bangladeshi youth. Taking systematic and timely measures can address this problem effectively, unlocking the potential of the country’s youth and enabling Bangladesh to reap the full benefits of its demographic dividend.
Rassiq Aziz Kabir is a Programme Associate at the Centre for Policy Dialogue and a Graduate Student in the Department of Economics, University of Dhaka.
Disclaimer: The views and opinions expressed in this article are that of the author and do not necessarily reflect the opinions and views of The Business Standard.