Srinagar, June 30: For the economy of a country or state, youth play a role similar to that of a mason—building, shaping, and strengthening. A decline in youth involvement in economic activity adversely affects a country’s growth and development. One of the key indicators that shows youth are being left behind is the youth unemployment rate which is skyrocketing in Jammu and Kashmir. Youth unemployment is soaring at 17.4K in J&K, far above the national average of 10.2%.
The overall unemployment rate in J&K is 6.7%, nearly double the national average of 3.5%, according to the Baseline Survey Report 2024-25 under Mission YUVA (Yuva Udyami Vikas Abhiyan), which cited the Periodic Labour Force Survey (PLFS) 2023-24, The Tribune reported.
The report was released by Chief Minister Omar Abdullah on Saturday during the launch of the much-anticipated Mission YUVA at the Sher-e-Kashmir International Convention Centre (SKICC). The mission aims to create 1.37 lakh enterprises and generate 4.25 lakh jobs over the next five years.
The report states that “The youth unemployment rate is even more concerning at 17.4%, compared to India’s 10.2%, indicating a serious gap in traditional employment opportunities. Women face even steeper barriers, with urban female unemployment recorded at 28.6%, underscoring the urgent need for inclusive economic interventions,”
The report further notes: “Entrepreneurship in J&K is emerging as a powerful catalyst for economic transformation, offering new avenues for self-employment, innovation and regional development. However, the region continues to grapple with high unemployment rates, particularly among youth and women, making entrepreneurship a critical lever for economic revival.”
District-wise, Rajouri has the highest unemployment rate at 9.3%, followed by Anantnag at 8.7%. In contrast, Jammu and Srinagar report unemployment rates of 3.3% and 5.9%, respectively, while Samba has the lowest unemployment rate at 3%.
The report also tracks structural shifts in the Union Territory’s economy. “J&K’s economy has transitioned from an agrarian base to a service-dominated structure, with agriculture’s contribution declining from 28.06% in 2004-05 to 16.91% in 2022-23. Industrial growth remains stagnant, while the service sector has expanded to contribute 63.57% to the economy, highlighting the need for modernisation, industrial expansion and service-sector-driven entrepreneurship.”
On a positive note, the report highlights that J&K has a high self-employment rate of 48%, reflecting strong entrepreneurial potential, particularly in the service sector. However, it also points out that business support systems remain fragmented, with limited access to early-stage financing for small-scale enterprises.
“High unemployment rates among youth, women, and urban populations call for targeted programmes and incentives. Promoting high-skilled, knowledge-sector enterprises can create better-paying job opportunities,” the report suggests.
Despite the challenges, the region’s young workforce is increasingly gravitating towards entrepreneurship, leveraging J&K’s rich natural resources, cultural heritage and growing digital ecosystem
