Youth Unemployment in Kashmir

Youth unemployment in Kashmir is a critical socio-economic problem. The paradox is glaring: on one hand, the valley has produced a vastly educated and ambitious generation, equipped with degrees across disciplines; on the other, the prospects to absorb this talent within the local economy remain grotesquely scarce. The issue is not merely about numbers, but about the interplay of education, aspirations, and economic policy gaps. To understand why Kashmir’s young, continue to face prolonged unemployment, one must examine the structural disconnect between education and employability, the rising tide of entrepreneurial ambition, and the incomplete translation of government policy into sustainable opportunity. The latest numbers from 2025 are troubling. Over 370,000 educated young people in Jammu and Kashmir are listed as jobless, mostly in the Kashmir division. This includes over 66,000 graduates and 47,000 postgraduates.

The fact that many educated young people are seeking jobs shows there is a lack of opportunity. This issue is especially severe in Kashmir, where the youth joblessness rate is 17.4 percent, higher than the national average of 10 percent.

The rate for women in cities is even higher, at 28.6 percent. These numbers suggest that the problem is consistent and caused by a mismatch between education and job market needs. Like much of India, Kashmir’s education system tends to produce graduates rather than skilled workers. Many people graduate in arts, sciences, and business, but the area’s private sector is too small to employ them, and the public sector has few openings. As a result, many young people find that their education does not lead to work or better social status. This causes disappointment, as seen in stories of postgraduates doing manual labor. It also creates a sense of wasted potential, which could reduce social confidence if not addressed.

Despite these issues, young people in Kashmir have ambition. Many are turning to entrepreneurship when they can’t find jobs. Surveys in 2025 showed that over half a million young people are interested in starting businesses. Nearly half of the people working in the area are self-employed, due to both need and creativity. This is different from past generations, who preferred government jobs. Today’s youth are willing to try startups and small businesses in areas like agriculture, tourism, and services. Government programs have attempted to support this trend. Since 2021, nearly one million self-employment opportunities have been created through programs like Mumkin, Tejaswini, PMEGP, and Mission Youth, with about 136,000 in 2024–25 alone. Mission YUVA plans to establish over one hundred thousand new businesses, which are expected to create over four hundred thousand jobs.

While this seems encouraging, there are still problems. Many programs look better on paper than in practice. Young entrepreneurs in Kashmir still struggle to find early funding, mentorship, and access to markets. Job training often focuses on skills but doesn’t connect people with jobs. Even national programs have struggled, with less than 15 percent of those trained finding stable jobs. Because larger programs face these issues, local programs also have similar shortcomings. While thousands get training, only a few find good jobs, leading to disappointment. Still, government policy has had some success. Between 2019 and 2024, the joblessness rate decreased slightly, and over eleven thousand young people found public sector jobs.

The private sector also hired thousands in manufacturing and services. Still, these numbers are small compared to the number of jobless graduates. Job creation is not keeping up with the number of people seeking jobs. Short-term rural jobs offer some help, but they are not a replacement for stable jobs that match the skills of educated youth. There is also a gender issue, with joblessness among young women being twice the average rate. Social issues, a lack of childcare, and unsafe transportation make it harder for women to find jobs. If policies don’t address these issues, half of Kashmir’s human potential will be wasted.

The issue of youth joblessness in Kashmir is a mix of education, ambition, and economic policy. The education system must adapt to meet job market needs, teaching practical skills, job-related training, and digital skills along with traditional education. The drive for entrepreneurship must be supported with funding, support, and mentorship, so startups can succeed. Government policy must focus on clear actions, monitoring, and measurable results. The active involvment of women must be central to job strategies, with policies that remove cultural and structural problems. More than jobs are at stake. A long-term job crisis can harm society, reduce trust in government, and cause frustration. Providing better job opportunities could turn young Kashmiris into a source of economic growth. The area’s stability and success depend on turning ambitions into results. The 2025 data is a warning and an opportunity. By making changes, focusing on action, and being inclusive, Kashmir’s jobless youth could lead an economic recovery. To cut youth joblessness in Kashmir, the government needs a full, policy-led plan, not just small programs.

 First, change the education system to include job training, apprenticeships, and partnerships with businesses. This will help students graduate with the skills employers need. The state should make credit, funding, and business help more available, so starting a business becomes a real option. Industrial policy also needs work. Investing in areas where Kashmir is already strong, like farming, crafts, tourism, IT, and renewable energy, could make lots of jobs if there is good infrastructure and ways to export goods. Also, give incentives to bring in private investment, along with clear governance to build trust with investors and young people. It is important to have a plan that considers women, requiring safe workplaces, transport, and flexible work options so more women can join the workforce. Below is the histogram that showcases the policies the government should prioritize to tackle unemployment in Kashmir.

Last but not the least, there should be monitoring and accountability. Judge Job programs by the number of lasting jobs they create, not just how many people sign up. Dealing with youth joblessness in Kashmir is hard. But with an intentional change to integrated, market-aware, and inclusive policies, the government can turn the area’s educated young people into a driver of economic growth.

 By: Sheikh Sofia

The writer with background in Economics & Statistics specializes in examining the dynamics of Conflict Economics across world.