Youth Unemployment in Zambia: Analyzing the Impact of Economic Growth and Development Policies on Employment Trends

Abstract

Addressing the multiple challenges faced by young people requires a multidisciplinary approach, particularly with regard to unemployment, which remains a critical political and socio-economic issue in Africa. This study examines the interaction between economic growth and youth unemployment in Zambia. Despite a declining national unemployment rate over the past two decades, Zambia's rapidly growing population adds new entrants to the labor force each year, exacerbating the challenge. Using World Bank data on GDP growth and youth unemployment rates from 1991 to 2023, the study analyzes the effectiveness of these policies in reducing youth unemployment. The results show a complex relationship between economic growth and youth employment. While economic recovery in the late 1990s led to a decline in youth unemployment, stable growth in the early 2000s did not prevent a subsequent increase in youth unemployment. Post-2010 data show a significant decline in youth unemployment, suggesting that targeted employment policies have been effective alongside stable economic growth. However, the impact of the COVID-19 pandemic on GDP growth was not matched by a significant increase in youth unemployment, likely due to government interventions. The study identifies persistent challenges such as limited access to finance, inadequate infrastructure and skills mismatches, but also highlights opportunities in the digital economy and public-private partnerships. The research underscores the need for a multi-pronged approach to youth unemployment, combining economic growth with targeted skills development and entrepreneurship support. Ensuring gender equality and inclusive policies are essential to maximize Zambia's demographic dividend. The study concludes with recommendations for improving youth empowerment programs, strengthening mentorship and internship opportunities, and developing robust monitoring frameworks to ensure the long-term sustainability and effectiveness of youth employment initiatives in Zambia.