The Challenge of Unemployment in Low-Income Countries

Unemployment, particularly youth unemployment, poses a significant challenge in low- and middle-income countries, affecting around 200 million individuals globally, with the youth rate being three times higher than that of the general population. Many young people have given up on job searches, contributing to a larger issue of non-employment and underemployment. This situation creates a market failure regarding skill visibility, where employers struggle to discern the qualifications of potential candidates. Consequently, people qualified for jobs face difficulties proving their worth, impacting the overall hiring process negatively.