Research
JOBS FOR THE FUTURE
Bridging Urban-Rural Unemployment Inequities of Bangladeshi Youth
At the onset of the 2024 July Uprising our 2024-25 Policy Residents examine the urban-rural disparities driving youth unemployment in Bangladesh.
Zahir, A., A. Ahmed, A. Ahamed, Z. Ahmed, P. Anand, N. T. Rashin, T. Tahrin, and X. Xu. 2025.
Youth Unemployment
This policy brief addresses Bangladesh's youth employment crisis, focusing on the deep disparities between urban and rural areas.
We analyze how current urban-centric policies fail rural youth and, using evidence from Dhaka and Rangpur, propose targeted solutions to fix the skills mismatch and promote gender equality.
Recommendation 1
Job Creation
Invest in rural and digital infrastructure, such as local roads and internet connectivity, to create local jobs and economic activity.
Encourage entrepreneurship in rural areas to bridge the urban-rural employment gap and promote industrialization.
Incentivize firm relocation to rural areas to reduce urban-rural employment gaps and curb rural-to-urban migration.
Recommendation 2
Job Quality
Invest in education, particularly in rural areas, to improve job quality and align curriculum with labor market needs, focusing on sectors like technology and renewable energy.
Expand Technical and Vocational Education and Training (TVET) programs to equip youth with job-ready skills and help reduce the rural-urban employment gap. Investing in the TVET sector alone was found to reduce rural unemployment from 9.3% to 7.3%
Recommendation 3
A National Action Plan
Develop a national framework to align skills development with local industry needs, focusing on gender equality and addressing youth unemployment.
Establish an Equity Framework under NAP to ensure young women have equal access to job opportunities, education, and training, regardless of their rural or urban background.
Establish a Data Working Group (DWG) under NAP for improved coordination and data-driven policymaking. This group should standardize data collection, integrate gender-disaggregated data, and monitor progress.
Recommendation 4
Agro-Jobs
Promote Mechanized and Modern Agriculture by scaling up agricultural equipment hubs and using public-private partnerships to deliver training in machinery operation.
Develop Agro Zones and Rural Industrial Clusters in surplus-producing rural areas, backed by fiscal incentives and investment in infrastructure like cold chains.
Integrate Agricultural Education and Training by tailoring curricula to reflect labor market demands in digital agriculture and agri-business.
Coordinate Institutional and Market Linkages by forming a Youth in Agriculture Taskforce to coordinate inter-ministerial actions
Success Hinges on Stability
For these recommendations to be successful, stability in political environment and governance reforms remain mission critical.
Supervisors
Authors
Pallawi Anand
MPP
Nahid Tahrima Rashid
MPP
Tasneem Tahrin
MGA
Xinyuan Shirley Xu
MsC
Aftab Ahmed
Aditi Zahir
Zara Ahmed
MPH
Al-Amin Ahamed
PharmD, MPP
Acknowledgements
Neil Bouwer, Max Bell School McGill University
Christopher Ragan, Economics, McGill University
John Ross, Ontario Pension Board, Ontario Government
Shohrab Ali Khan, Executive Vice Presidency, Thengamara Mohila Sabuj Sangha (TMSS)
Shakil Ahmed, Institute of Governance and Development, BRAC University
Saif Islam, Country Office, Bangladesh, International Labour Organization
Policy Residency
The BacharLorai Policy Residency invites graduate-level researchers from world renowned universities to work a pressing policy challenge affecting the global south.
Their research is published and disseminated at parallel events during the United Nations General Assembly and the IMF-World Bank Annual Meetings.
Residency Team
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Nahid Tahrima Rashid
Manager, Policy Residency
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Aditi Zahir
Director, Policy Research