Can South Asia Turn Its Youth Bulge Into an Economic Powerhouse

Crippling under the weight of sustaining 2.08 billion, or one-fourth of the world’s population, as of 2025,  South Asia is also leading in the percentage of the population constituted by youth. Today, a whole 30% of South Asia is under 24. As stated by the International Labour Organisation (ILO), 15.1% of youth were unemployed in 2023. While the rest of the world dreams of benefiting from this ideal demographic, South Asia is projected to face challenges due to this large youth population. With evermore stomachs to feed and barren lands to reap, what was once going to be a whimsical demographic dividend turned into a grave worry. 

Poor Choices That Turn Treasure into Waste 

One of the major reasons for joblessness is South Asia’s consistently high and historic illiteracy rates. A literacy rate of 75% in 2023, just 0.74% higher than the one in 2022, shows how the region has always suffered at the hands of this issue. When such drastic numbers affect the large youth population, the job market for them becomes more impaired than improved. Despite the situation, Pakistan continues stripping the education budget, with Pakistan and India choosing to easily spend millions on arms and warfare while their education systems fall below rock bottom.

Another interesting factor backing up illiteracy is customs. Afghanistan, as the flag bearer, blocks all education for women, with the majority of India, Pakistan, and some rural areas of Sri Lanka following, as women’s right to education remains up for debate. Those who can afford well-credited but pricey education do so to leave their countries in search of fortune abroad, and those who are — still no less than blessed — to even be getting to study, surrender their futures to a curriculum that teaches no employable skills and produces individuals to work in the future world with knowledge of just past the medieval times. 

Failures And Inconsistencies to Worsen the Issue 

The advent of technology brought rapid urbanisation, which the third-world countries adopted, and it had its costs. In a snap, entire careers were replaced by technological advancements, and the laid-off population? They were left with no compensation, no educational training on how to keep up with the fast-moving world, and no alternate jobs. Governments, walking on thorns with the fluctuating economy, fail to create a motivating entrepreneurial environment for start-ups to generate employment or to generate jobs themselves. Again, for this very reason, South Asia remains a sceptical choice for foreign investors to invest in, further reducing any prospects of employ ability. The existing businesses regularly face losses due to scarce energy reserves, resulting in power losses.

These power outages and frequent network losses only give industries and offices a tough time and impetus to the decision to operate businesses abroad, hence more oncoming joblessness. Moreover, such instances create awkward situations for freelancers, with some lamentably being laid off. The youth that has to stay in the country have to resort to jobs with no connection to their degree to escape unemployment because South Asia isn’t yet equipped with the resources to create the AI startups and Cloud servers that students spend 4 years studying in universities. 

Youth That Stays No More Your Own

This in hospitality for its youth only creates a hostile situation for the governments. As the youth rise to a voting age, they choose not to vote anymore due to their disappointing circumstances. The unemployed are not in a position to afford decent healthcare or any at all, and become a crushing burden on government-financed healthcare systems. If hospitals cannot accommodate them, they must endure illness until death, leading to an increase in the mortality rate. Since such a significant population doesn’t produce any output, the economy worsens, prices hike, and work forces are retrenched, making states stay stuck in a poverty cycle. Those who can immigrate, leave, costing a country its invaluable bright minds that could do wonders had they had appropriate environments to flourish in. 

Conclusion  

South Asia could easily overcome its shortcomings if it were to recognise its matchless assets and work to create a favourable and supportive environment for them. The poverty cycle could be escaped, and economies could be ameliorated if respective institutions work to bridge the gap between the high demand and the limited supply of skilled workers. This specific section of the population is to be polished, not punished, as a result of governmental incompetence, because the outputs they will produce will ultimately be for their people and nation.

The Middle East is a captivating choice for South Asians who work low-tier construction and labour jobs because of better returns than in their own countries. If other regions, not just their own, show interest in investing in youth, South Asia has the opportunity to embrace its neighbours by investing in this crucial demographic. Failure to do so could result in a young population that serves no purpose and becomes a burden.